Thailand Grants Licenses to Three Crypto Exchanges – The Ministry of Finance in Thailand has granted working licenses to three crypto trading companies and issued a working permit to a cryptocurrency broker and dealer. However, this does not mean that it has opened up to all crypto projects. The ministry has also denied permits for two businesses seeking to become regulated exchanges.
“The four applicants granted a license are three digital asset exchanges – namely (1) Bitcoin Exchange Co., Ltd. (BX) (website: bx.in.th), (2) Bitkub Online Co., Ltd. (BITKUB) (website: bitkub.com), and (3) Satang Corporation (Satang Pro) (website: satang.pro) – and one cryptocurrency broker and dealer Coins TH Co., Ltd. (website: Coins.co.th),” Thailand’s Securities and Exchange Commission stated in a press statement.
The two Thai crypto exchanges denied permission to practice. They are Cash2Coins Co Ltd (website: cash2coins.com) and Southeast Asia Digital Exchange Co Ltd (website: seadex.io). They failed to meet the SEC’s ideal standards concerning their asset maintenance system and digital know-your-customer protocol. The regulator, by orders of the Ministry, denied their licensing requests for running a crypto exchange. Thus, asserting that their IT security and cybersecurity were not adequate.
Likewise, the ministry has told both of these crypto exchanges to stop their business operations in Thailand. Also, the owners are given a deadline to notify their users to withdraw or transfer their crypto assets from Cash2Coins on or before January 14. However, the companies will be liable to report their balance sheet to the SEC after returning those digital assets.
The SEC also confirmed that Cash2Coins and Southeast Asia can reapply for the business licenses after taking care of the concerns raised in response.
Additionally, the SEC has put on hold the application of another firm, Coin Asset Co (website: coinasset.co.th). SEC discovered irregularities in Coin Asset’s management. The regulator confirmed that it is reviewing the request by Coin Asset Co.
“Thailand Grants Licenses to Three Crypto Exchanges – There has been a change of company executives, which is material information for the consideration of the application,” the SEC explained. “The Ministry of Finance is considering the material change, the company may continue business operation.”
Subsequently, these decisions by Thailand’s Government have made the country one of the most attractive markets in Asia for crypto businesses. In 2018 the country approved crypto and ICO regulations, and in June, it legalized seven cryptocurrencies, including Bitcoin and Ethereum. As a consequence, it may see an influx of crypto startups and crypto traders from neighboring countries such as India and China, where the stiff regulations by the authorities are crippling the growth of crypto businesses.
The Thai government is also exploring blockchain technology for creating tools that will track tax evasion, manage national identities, and support the development and functioning of their proposed digital Baht.