Thai central bank plans to introduce detailed regulations on encryption supervision next year

Thailand Central Bank (BOT) plans to make comprehensive legislation on the digital asset industry in January next year. These rules will be designed to reduce the risk of financial networks, providing greater protection for investors.

Encrypted currency cannot be a means of payment

At recently accepted “Bangkok Post” interview, Thailand’s central bank governor sethaputsuthiwartNaruePut said that the agency will release a consultation document on “financial landscape” in January 2022. This document will define the red line for those deal with bitcoin and alternative coins.

Although people have become more interested in digital currencies, there is a risk in investing in these assets itself. This is why the proposed rules will seek better protection for those who participate in the asset class. It is reported that the Thai Central Bank will cooperate with the country’s securities trading committee and the Ministry of Finance, and the goal of these three departments is to ban digital assets to become a payment method in the country.

It is worth noting that the central banks of Thailand have recently urged local currency mechanisms to stay away from encryption, the reason is the risk of volatility enhancement of the currency. It added that the widespread use of Bitcoin and alternative coins may also affect the ability of BOT to monitor national economy.

Australia will also implement the Admiral Money Reform Plan

Australia is another country recently disclosed to regulate the currency industry. According to the disclosure of its federal finance minister Joshfrydenberg, local authorities will discuss potential reforms within the next 12 months. This idea is to create a better ecosystem for encrypted currency traders, and implement the regulatory framework for the exchange, and launch the central bank digital currency.

According to statistics, the reform proposal will be the largest in 25 years. Its main purpose will be to make Australians to purchase and sell Bitcoin and alternative coins in a regulated environment. Specifically, “For consumers, these changes will establish a regulatory framework to support their increasing use of encrypted assets and clarify the treatment of new payment methods.”

This legislation will also touch Australian trading venues. Fleton Berg added, “These exchanges should be supervised as banks because they hold a lot of funds and investments.” Finally, the federal finance minister summed up, completing reforms, can make Australia to become a encrypted currency Center, and make the state “becoming one of the few leading countries in the world.”