According to Thailand SEC, meme coins, NFTs and fan tokens are no longer allowed to be traded in Thailand, effective June 11.
The Thai Securities and Exchange Commission (SEC) revealed on Friday that it’s banned most of the currently active types of tokens in cryptocurrency including meme tokens such as dogecoin, Shiba Inu, FEG, etc; fan tokens and non-fungible tokens (NFTs). This move is believed to rein in trading in crypto instruments in which the prices are largely determined by social whim.
Thailand SEC’s Stance on Crypto Regulation
The ban of these types of tokens by the Thai SEC is just the latest action by the regulator as it continually ensures that a framework for crypto is provided in the kingdom. While the SEC is not considering banning crypto altogether, the regulator has opted for a protective stance to prevent regular subjects and even traders from risking their funds through crypto investments.
According to Thailand SEC, the following are no longer allowed to be traded in Thailand, effective June 11:
Meme tokens, which Thailand’s SEC describes as having no clear objective or substance or no support with the price depending on the trend in the social world. Though not mentioned by name, presumably this applies to meme-based coins such as Dogecoin (DOGE), the price of which has influenced to a massive degree by celebrities, most notably Elon Musk.
Fan tokens, digital assets that represent ownership of a voting right and give a person access to earn club-specific rewards and services. The tokens can be traded for other goods and services such as VIP experiences and so on.
NFT, which for a few brief months this year was the hottest sector of crypto. They are digital assets that represent a wide range of unique tangible and intangible items, from collectable sports cards to virtual real estate and even digital sneakers. Unlike regular cryptocurrencies, NFTs cannot be directly exchanged with one another.
The known and major exchange tokens such as those issued by Binance (BNB), Uniswap (UNI), FTX (FTT) permits holders to get benefits such as reduced transaction fees on the corresponding exchange.