Thailand Moves to Block Unlicensed Crypto Exchanges to Combat Online Crime

In a bid to tackle online crimes like money laundering, Thailand is set to block unlicensed cryptocurrency exchanges from operating within its borders. The country’s Securities and Exchange Commission (SEC) will compile a list of these unauthorized platforms to submit to the Ministry of Digital Economy and Society.

This decision follows recent moves by India and the Philippines, where offshore exchanges failing to adhere to local regulations were banned. Thai SEC Secretary-General Pornanong Budsaratragoon made the announcement public after a meeting of the Technology Crime Prevention and Suppression Committee on April 19.

To safeguard investors, the SEC advised individuals to withdraw their funds from unregistered platforms before the ban goes into effect. Investors were cautioned against the risks associated with unlicensed operators, including scams and potential involvement in money laundering.

The SEC encouraged investors to verify the registration status of platforms using the SEC Check First application. Notably, prominent offshore exchanges like Binance, Coinbase, KuCoin, Kraken, and OKX do not have legal operations in Thailand, as per government records.

In Europe, regulatory pressures could extend to non-decentralized protocols. The Markets in Crypto-Assets (MiCA) framework mandates the European Commission to assess the decentralized finance (DeFi) market and explore specific regulations by December 30. Concerns have been raised among crypto entrepreneurs, such as MakerDAO co-founder Rune Christensen, who anticipates potential licensing requirements for DeFi interfaces, which could impact accessibility and functionality.