Thailand’s government has gone strict on crypto ads. The new guidelines make it compulsory for companies to state their ads with high transparency. They can make false or highly exaggerated comments or claims in the ads. The government has taken this decision after observing the growing influence of the crypto industry. However, this has also increased different issues related to losses and false claims in front of the investors.
That’s why the Thailand government took the initiative and made strict guideline rules for crypto advertising in Thailand. The rules came into effect on Thursday, stated by an official declaration notice given by the country’s securities regulators. Under the new guidelines, crypto companies are prohibited from making false claims. They can not exaggerate the information to attract more investors. This prohibits them from using implications like inflated user numbers. They also need to clarify the associated risk factors with the investment by providing a straight-the-point risk warning.
Moreover, the Thai Securities and Exchange Commission {SEC} also changed and updated the existing regulations, stating that several of the crypto company ads don’t have such warnings. Some only advertise positive information, which can be misleading for investors. Also, the updated regulations clarify that these regulations must be followed by all the crypto companies who are advertising to the local users. The regulations also state to amend the existing advertisements within 30 days of publication after the notice. SEC determines to change the misleading way of advertising opted by the crypto companies.
Thailand is promoting the working of central bank digital currency. Simultaneously, local regulators have been focusing on the crypto sector diligently. Currently, Bitkub, one of Thailand’s largest cryptocurrency exchanges, is under the radar of the SEC. This is due to their flouting behaviour towards local security laws, which has also given rise to this strict regulatory decision.
