The Securities and Exchange Commission (SEC) of Thailand has issued a warning to companies and advertising agencies involved in the crypto industry. The warning is meant to address misleading crypto advertisements in order to safeguard investors and enhance the sector’s credibility.

Crypto Ads Must Be Truthful

This warning, announced on April 29, is a response to crypto exchanges using deceptive tactics to attract investors. Anek Yooyuen, Deputy Secretary-General of the Thailand SEC, stressed the importance of providing accurate information to investors and ensuring that advertisements meet regulatory standards.

According to Yooyuen, crypto ads should not manipulate facts or hide information to deceive investors, as doing so goes against financial regulations in Thailand and may result in legal repercussions.

Implications of Thailand SEC's Action

The SEC's initiative, particularly focusing on crypto exchanges offering special promotions, could lead investors to ignore potential risks. Therefore, it is crucial for ads to include clear warnings about investment risks.

Thailand SEC's decision not only impacts the country but also resonates globally. Regulatory bodies like the UK Financial Conduct Authority (FCA) and the Spanish National Securities Market Commission are also taking similar actions.

FCA's Anti-Misleading Efforts

The FCA has been actively combating illicit crypto ads and working to prevent fraudulent activities within the industry. Similarly, the Spanish National Securities Market Commission is urging compliance with local laws among crypto companies.

These regulatory measures are essential for building trust in the crypto world. Cooperation and adherence to regulations by both regulators and industry players are vital in achieving shared objectives. Oversight of crypto ads and protection of investors are crucial for the sustainable growth of the sector.

It is important to recognize that different countries are implementing diverse measures to address this issue, with some imposing strict regulations on crypto exchanges in the name of investor protection.