Cryptocurrency regulation

Cryptocurrency Regulations in Thailand

Written by: Qadir AK

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Qadir AK

Qadir Ak is the founder of Coinpedia. He has over a decade of experience writing about technology and has been covering the blockchain and cryptocurrency space since 2010. He has also interviewed a few prominent experts within the cryptocurrency space.

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Apr 14, 2022


Thailand was ranked among the 14th countries by the rate of crypto users globally based on the analysis of 2021. As Thailand is more popular in the rate of crypto-asset owners, ranks 12th with 5.2% ahead of the u.K, Brazil, France, Germany, and other major countries. Ban on Thailand’s transactions is considered as a hit to the principal’s of Bitcoin. The objection to Bitcoin, Ether, and other digital assets used for payment is unlikely to dent the $1.9 trillion global crypto market.  

Thailand has always had a proactive approach to regulating the offering of digital assets and opening its doors to crypto-related businesses. Thailand has adopted a more liberal and progressive stand towards cryptocurrencies by approving four cryptocurrencies for ICO trading

It was May 14, 2018, when Cryptocurrency and ICOs were added into the law amendments and by September 2018 7 cryptocurrencies were approved by the SEC body and as of June 4 2020 Thailand decides to approve and keep only 4 of them Bitcoin( BC), Ripple ( XRP) , Ethereum( ETH) and Stellar ( XLM). 

Thailand Crypto Regulations 2022

25-01-2022: GlitzKoin is about to enter Thailand Crypto.

Binance the world’s largest crypto exchange partners with Thai Billionaire’s energy giant to set up Crypto Exchange. Gulf energy made an agreement with Binance in response to the rapid growth of Thailand’s digital infrastructure.

10-02-2022: Thailand is about to regulate the use of Crypto as payments.

The Thai regulator announced on Wednesday that Thai citizens are no longer allowed to pay for goods and services via crypto as it’s going to object to the use of crypto to pay for products and services claiming that it would boost the country’s financial system and economy.

13-01-2022: Mounts to Crippling crypto tax in Thailand.

Thailand’s revenue department announced that it would be imposing a 15% capital gains tax on crypto trading and mining profits. The government is expected to finalize details and dispel some of the confusion that has mounted for local crypto businesses on Jan 20.

Taxes on Cryptocurrencies

Thailand’s finance minister Arkhom Tempittayapaisith said at a news conference that the rule in line with an earlier announcement allows traders to offset annual losses against gains for taxes on crypto investments, excluding VAT Value Added Tax of 7% for crypto trading on authorized exchanges. 

Thai announces 15% withholding tax on crypto, following pushback from the crypto industry. The Revenue Department published a manual in regard, outlining the new tax rules applicable to crypto and digital tokens.

income earned from crypto trading or mining would be considered as capital gains and new rules enable traders to offset their annual losses against gains made over the same year, says Tax officials. 

Crypto Mining in Thailand

Crypto mining was banned recently by Thailand’s authorities this year forcing crypto miners to move their mining farms, and other independent operations to other parts of the world. China’s decision on banning crypto mining and cutting off miners from the electricity grid has benefited growth in Thailand’s Crypto mining where miners have moved to other parts of Asia, Europe and North America.

Thailand’s Virtual currency mining sector is growing according to recent analysis, the big mining farms outsourced from China are attracted by U.S, Russia, malaysia, and Kazakhstan whereas small and independent crypto miners are moved towards Thailand. Due to the availability of mining devices in Thailand, its local crypto mining industry is also growing.

The Thai entrepreneur says that ” Bitcoin is the gold of cryptocurrency and the Bitcoin Mining rig is like a gold mining stock; you are paid dividends according to the gold price.

Historical Events of Cryptocurrency

25-02-2021: Thai plans to introduce a set of new rules for crypto investors targeting the ones who are willing to open accounts, Financial watchdog of Thai requires traders’ proof of income.  The Securities and Exchange Commission of Thailand wants investors to show their income before account opening.

20-01-2020:- ERX and Zipmex get licensed by Thailand SEC as a digital asset exchange.

19-12-2019:- Public hearing was held with the number Kor.Thor.44/2562 regarding the rules and regulations for digital asset operators and system providers offering digital token.

19-07-2019:- The digital asset exchange will be required to report digital asset trades with a value exceeding 5 million THB to commercial banks, then the banks must report such transactions to AMLO.

07-06-2019:- SEC announced on Private Placements of digital assets providing advice and guidance on the offering of digital Assets by

  • Registration statement and prospectus for retail customers or
  • In a private placement to institutional investors, ultra-high net worth individuals etc

01-03-2019:- The SEC seeks public comments on the proposed rules for data submission by digital asset business (DAB) operators and initial coin offering (ICO) portals. 

04-08-2018:- The Bank of Thailand permitted banks to set up branches that may issue tokens, invest in cryptocurrencies and run crypto-related business.

05-07-2018:- Thailand’s financial market regulator framed new rules governing ICO’s which was implemented on July 16.

02-07-2018:- The Association of Securities Companies(ASCO) studied the possibility of establishing a joint cryptocurrency exchange between securities companies and also planned to apply for a license from the SEC.

14-05-2018:– The Digital Asset Management Act BE 2561 was enacted which granted SEC the authority to regulate digital assets in three categories,

  • Brokers
  • Dealers
  • ICO portals

14-03-2018:- The Cabinet of Thailand approved the draft of two royal decrees that would regulate digital transactions and would impose taxes on digital assets.

27-10-2017:- The Securities and Exchange Commission Thailand (SEC Thailand) issued a public Consultation document mentioning its regulatory approach on ICO.

18-08-2014:- A senior director of Bank of Thailand said that companies dealing with cryptocurrencies in exchange with baht do not require an operating license. Only the foreign currency trades would be required to obtain a license.

20-02-2014:- Bank of Thailand concluded that Thai law does not regulate virtual currencies and the exchanges cannot exchange virtual currencies for any other foreign currency other than baht.

20-07-2013:- Bank of Thailand in a meeting with a bitcoin company said that there are no specific regulations or laws for the digital currencies and buying or selling cryptocurrencies or any other activities involving cryptocurrencies is illegal.

Concluding Note

Thailand has provided the blockchain and the cryptocurrency a friendly platform to develop and come out with new innovations. Thailand has also regulated cryptocurrencies by implementing laws and taxes on profits. Hence, the positive approach of the government would surely result in the immense growth of technology in the country and give a boost to the economy.

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Qadir AK

Qadir Ak is the founder of Coinpedia. He has over a decade of experience writing about technology and has been covering the blockchain and cryptocurrency space since 2010. He has also interviewed a few prominent experts within the cryptocurrency space.

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