With the unregistered tokens and ICOs have accelerated their pace in the crypto world, recently the Thai Securities and Exchange Commission has warned community users that not to invest into nine digital tokens and ICOs which are not approved by the regulator as reported by Bangkok Post on 26th October.
The SEC is believed to have investigated all those digital tokens and ICOs that used a variety of social sites and media platform in order to raise capital, and concluded that there are almost nine cases were found which have not been officially approved to conduct the exercise.
According to SEC, it has accused those ICOs and digital assets which have not executed any mandatory filings in order to get the approval, nor do all those entities having proper qualification criteria in place. With this, SEC has warned all those community users if they have invested across these nine ICOs and digital tokens at their risk.
Amid this, the regulatory authority elaborated in its statement about “Ponzi Schemes” saying that “Information disclosure for investment decision-making is also inadequate, while these digital assets might not have sufficient liquidity to trade and cannot be converted into cash.”
In August 2018, SEC said in its statement that “almost 50 ICO projects expressed interest in becoming certified following the Finance Ministry’s announcement to introduce ICO regulations. The authorization process takes up to five months as upon submission of an application, the SEC will transfer the document to the Finance Ministry within 90 days. After that, the Ministry has 60 days to make a decision whether to approve a license.” This is how the entire process executed in order to give approval to ICOs or related activities.
Recently, the SEC gave its approval for seven businesses in order to setup cryptocurrency activities to streamline the country’s domestic market.
Amid this, Apisak Tantivorawong, Thai Finance Minister said in his statement that The 100-section law defines cryptocurrencies as “digital assets and digital tokens,” and brought them under the regulatory jurisdiction of the SEC, however, the new measures that are taken don’t restrict any cryptocurrencies or ICOs based activities.”