Cryptocurrency payments banned in Thailand, trading still okay

You can put your hopes to rest as Thailand will ban any use of cryptocurrencies as a form of payment. Officials believe that its widespread use will harm the country’s financial system and economy.

The new rules that prevent using digital currencies as a form of payment will take effect from April 1. Businesses are given extra time until the end of the month to adapt.

The change in rules won’t affect those who like to trade or invest in digital assets, so carry on.

Companies, including cryptocurrency exchanges, are banned from providing similar payment methods. They’re also forbidden from engaging in activities that support the use of any digital assets.

Digital-asset service businesses must stop promoting or creating a system to promote payment using digital wallets under the new regulations.

Customers must be warned about using digital assets for transactions, and if they are found to be breaking the regulations, their accounts could be terminated.

Cryptocurrency is popular among the younger generation of investors as they use the platform for returns, especially during the pandemic and uncertainty of the future.

Due to excessive volatility, unpredictability, and risk, banks have been advised to avoid any engagement in the trading of digital assets.

The restrictions on the use of cryptocurrencies for company operations are aligned with rules in Malaysia, South Korea, the UK and Europe.

SOURCE: Bloomberg