The Thailand Securities and Exchange Commission (SEC) has announced public consultations on new rules regulating the issuance of utility tokens. These measures aim to enhance transparency and mitigate the risk of insider trading within the country's crypto industry.
Purpose of the New Rules
The draft regulation requires crypto exchanges and affiliated individuals to disclose information about all parties involved in the issuance of utility tokens. This will assist regulators in monitoring unusual trading activities and potential misuse of privileged information.
Responsible Growth in the Crypto Space
Thailand has taken significant steps recently to balance innovation in the digital asset sector with investor protection and financial integrity. In March, the government announced the ability for tourists to use cryptocurrency via credit cards. However, this was followed by crackdowns on major exchanges OKX and Bybit for unlicensed operations. In June, capital gains taxes on crypto trades through licensed platforms were also waived.
Global Scrutiny Over Insider Trading
Concerns regarding insider trading in Thailand are not isolated. High-profile cases, such as the conviction of a former OpenSea employee who used confidential information to profit from NFT sales, have drawn global attention. Additionally, Binance suspended an employee earlier this year following allegations of insider trading.
The proposed SEC regulations will serve as a significant step toward strengthening oversight of the rapidly evolving cryptocurrency market in Thailand, aimed at establishing a more transparent and secure environment for users.
