Bitcoin Regulation Thailand Bans ICOs From Using Bitcoin Cash, Litecoin and Ethereum Classic

Thailand’s Security and Exchange Commission (SEC) has banned Bitcoin Cash (BCH), Litecoin (LTC), and Ethereum Classic (ETC) for use by Initial Coin Offerings (ICOs) in fundraising and as base pair on cryptocurrency exchange platforms.

Bitcoin Cash, Litecoin, and Ethereum Classic Blacklisted

Contrary to reports making the rounds on the cryptocurrency news circuit, regulators in Thailand have removed three cryptocurrencies from the list of accepted tokens for ICO fundraising and virtual currency trading. The Thai SEC announced the news in a press release published on its website on Thursday (February 28, 2019).

An excerpt from the statement reads:

This latest update has resulted in the total of four cryptocurrencies for ICO investments and base trading pairs, namely (1) Bitcoin (BTC), (2) Ethereum (ETH), (3) Ripple (XRP) and (4) Stellar (XLM). Also, three other cryptocurrencies have been removed from the list, namely (1) Bitcoin Cash (BCH), (2) Ethereum Classic (ETC) and (3) Litecoin (LTC).

Following the announcement, BCH, LTC, and ETC are no longer eligible for use in ICOs. Also, cryptocurrency exchange platforms in the country cannot use as base pairs for trading other virtual currencies.

The statement did not offer any reason for removal of these three cryptocurrencies but stated that its decision did not amount to an endorsement or repudiation of any crypto. Also, the Thai SEC maintained that its decision would have no impact on investors judging from the fact that crypto exchanges in the country do not list the blacklisted tokens as base pairs and ICOs were yet to take off in the country.

Back in August 2018, Bitcoinist reported that about 50 ICO projects had signaled interest in obtaining licenses from the SEC. From May 2018, regulators in the country began to take steps to create clear-cut regulations for Thailand’s cryptocurrency market.

Thailand: SEC Wants Standardized Data Submission

Concerning the establishment of a robust regulatory framework for cryptocurrencies, the Thai SEC is also set to revamp the reporting standards for cryptocurrency businesses. The regulatory watchdog issued a press statement on Friday (March 1, 2019) calling on stakeholders to provide input on a proposed standardized set of rules for data submission by cryptocurrency brokers and exchange platforms.

According to the press release, the SEC requires two data classes – transaction data and profile data. Transaction data will encompass trading volume, deposits, withdrawals, and price among others. For profile data, the Thai SEC says it is interested in wallet addresses, account numbers, and other information about token issuers.

Commenting on the need for a standard set of rules for data submission in the industry, the Thai SEC said:

A standardized database would not only benefit the supervision of digital asset businesses but would also promote cooperation between business operators and the SEC in optimizing the use of relevant data to create a clear picture of the overall digital asset industry, laying out digital asset market development plan, as well as solving problems and preventing risks.

The Thai SEC says stakeholders have until March 13, 2019, to submit their opinions on the matter.

Why do you think the Thailand blacklisted these three cryptocurrencies? Let us know your thoughts in the comments below.

Image courtesy of Twitter (@ThaiSEC_News), Shutterstock

