- Thailand to block Bybit and four other crypto exchanges operating without licenses
- SEC urges users to withdraw assets before June 28 enforcement
- New law aims to fight money laundering and tech-related crimes
Thailand will block five major cryptocurrency exchanges, including Bybit and OKX, from June 28 due to licensing issues. The Thai Securities and Exchange Commission (SEC) directed the move after regulatory investigations into unauthorized digital asset operations. The country’s authorities intend to protect investors and enforce the new laws for digital assets.
Bybit and Four Others Axed From Thai Market
In collaboration with MDES, the SEC cracked down on the non-compliant platforms. This enforcement follows the Royal Decree on Technology Crimes, which took effect on April 13. Under the new rule, Ministry of Digital Economy and Society (MDES) can stop any unlicensed digital trading service in Thailand.
Bybit, OKX, CoinEx, 1000X and XT.COM are now restricted for users in the country. It was confirmed that these exchanges were not licensed under Thailand’s Digital Asset Business Law. As a result, the SEC filed formal complaints to initiate immediate legal procedures.
Regulators examined each platform and determined that none had been approved as licensed crypto exchanges in Thailand. Authorities pointed out that the platforms are not covered in Thai laws and could cause risks. Among them are scams, fraud and money laundering.
Thai SEC Moves to Protect Crypto Investors
The SEC instructed users of Bybit and other services to act before the June 28 deadline to avoid service interruptions or loss of funds. Investors were advised to withdraw or transfer their assets while services remain accessible. The regulator warned that users who continue to use blocked platforms will not receive legal help.
Thailand updated its laws to curb illegal financial activities and help the secure development of digital assets. In April 2024, the Cabinet passed new rules to supervise peer-to-peer crypto services and prevent unauthorized activities. They are part of a nationwide push to improve cybersecurity and financial supervision.
Thai Embraces Crypto in Financial System
As it tightens rules on illegal digital platforms, Thailand promotes the growth of regulated digital innovations in its financial sector. Earlier in May, the government proposed crypto payment options for tourists via card-linked services. This initiative is part of a national efforts to integrate digital assets into mainstream economic activities.
Moreover, Thailand’s Ministry of Finance announced plans to issue $150 million in digital investment tokens. These will allow retail investors to access government bonds through regulated blockchain platforms. Regulators have allowed stablecoins like USDt and USDC for trading on exchanges that are licensed.
SEC confirmed only exchanges that receive official approval are allowed to provide digital asset services in Thailand. In a statement, the SEC said that it will enforce the law against unlicensed operations. The SEC and MDES will join forces to stop and take down illegal trading platforms.
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