Thai Welcome To ICO Regulation & Implementation
With countries across the globe waking up to the Bitcoin revolution, the Securities and Exchange Commission in Thailand has opened its floodgate to regulations in the sphere of Initial Coin Offering. The same is becoming all the more important with various country laws considering ICO coin as a security having legal ranking.
Recently China banned all ICO proceeding as they suspected a deep rooted link in between these shady crypto activities and money laundering which largely affected the unsuspecting investors. However SEC Thailand is willing to extend their support towards ICO along with creation of laws for regulating the same.
The agency recently stated that:
“The SEC Thailand encourages access to funding for businesses, including high potential tech startups, and realizes the potential of ICO in answering startups’ funding needs. In cases where an ICO constitutes offering of securities, the issuer will need to comply with applicable regulatory requirements under the SEC Thailand’s purview.”
They also added “To strike a balance between supporting digital innovation and protecting investors from potential ICO scams, the SEC Thailand is considering appropriate approaches on ICO and welcomes comments and suggestions from the private sector.”
In the last few week, various countries have taken a final call regarding their ICO position. The Canadian Securities Administrators (CSA) holds the view that most of these virtual currency forms fall under the definition of securities and need to be brought under regulation.
Securities and Exchange Commission (SEC) feels it is imperative to bring the issuance and sale of digital tokens under the country’s federal securities law. Monetary Authority of Singapore (MAS) is thoroughly spreading the advisory propaganda warning investors to gauge the inherent risks associated with participating in token sales.
Recently, Dubai Financial Services Authority (DFSA) has also issued a public warning against ICOs to investors.
DFSA says:
“The DFSA wishes to highlight that these types of product offerings, and the systems and technology that support them, are complex. They have their own unique risks, which may not be easy to show or understand; such risks may increase where offerings are made on a cross-border basis. These offerings should be regarded as high-risk investments”.
Such actions of regulatory houses should not be viewed as a stand in favour of banning the cryptocurrency but just a lookout so that these startups do not use the money raised from self-created tokens in a manner which can be detrimental for investors.
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