Thailand is going to block the ByBit transactions, alongside XT.com and 1000x. The change will take effect on June 28th. In a recent press interaction, the Securities and Exchange Commission disclosed this information.
After a statutory review of platforms dealing in unlicensed digital assets, the SEC came up wth this update. However, ByBit is the biggest name, so far as five exchanges are concerned.
All five exchanges have to stop their services owing to noncompliance with the Thai Digital Asset Laws.
ByBit Can’t Operate As Per The New Digital Asset Law
ByBit has not received a valid license under the Digital Asset Business Law of Thailand. Hence, the Thai government has exercised enforcement action against byBit.
The SEC of Thailand has gathered enough data regarding their operations before lodging an official complaint with the Digital Economy Ministry.
Why did this legal brawl happen all of a sudden?
Experts say that the legal action resonates with the updated regulations of the Thai government. The regulations plan to sever the illegal fiscal services from operating. Thus, they are also planning to cut off tech-related crimes.
The Royal Decree
The Thai Royal Decree on Tech-related crimes came into effect on April 13, allowing the MDES authority to block any kind of unauthorized platform, including ByBit.
This decree will emphasize more stringent regulatory oversight to prevent phishing crypto transactions within Thai territory, particularly those conducted without local approval.
Now, ByBit and others like it are facing a complete suspension of services within the jurisdiction of Thailand, effective from June 28th onwards.
OKX, CoinEx, and Others Facing Local Shutdown
OKX is also facing the odds of the stricter royal decree. They are also claimed to be one of the unauthorized operators. Their services will also be blocked.
After a thorough review, the SEC ruled that their exchange had violated the digital asset regulations.
Simultaneously, CoinEx, XT.COM, and others have followed suit. None of the platforms has obtained the required approval to operate within Thailand, as per the updated service terms released by the SEC. Ultimately, the government is resolute in its intention to eradicate all forms of illicit transactions involving digital assets in Thailand.
Targeted Measures Adopted Under Digital Asset Regulations
Thailand is attempting to strengthen regulations that will enable authorities, such as the SEC, to more easily control crypto trading. These changes will now allow the government to block all kinds of unlicensed services, including ByBit.
According to the new rule, operators are no longer eligible to conduct peer-to-peer operations or trades on offshore networks. How far will the new rules cleanse the Thai crypto sector? Time will tell that!
