Thailand, June 12, 2021 /AlexaBlockchain/ – Thailand’s Securities and Exchange Commission (SEC) has banned cryptocurrency exchanges from trading meme token, fan-based tokens, NFTs and exchange-issued tokens.
Thai SEC new guidelines for Digital Asset Exchanges on trading of Meme token, Fan token, NFTs, and exchange issued tokens
Ruenvadee Suwanmongkol, the regulator’s secretary-general, said the exchanges are banned from trading utility tokens or cryptocurrencies that have one or any of the following characteristics:
- Meme token: having no clear objective or substance or underlying, and whose price running on social media trends;
- Fan token: tokenized by the fame of influencers;
- Non-fungible token (NFT): a digital creation to declare ownership or grant of right in an object or specific right. It is unique and not interchangeable with digital tokens of the same category and type at the equal amount;
- Digital tokens which are utilized in a blockchain transaction and issued by digital asset exchanges or related persons.
The exchanges are required to comply and revise their rules within 30 days, the regulator said. Failure to do so could result in the delisting of the digital token, it said.
The SEC has also cautioned investors, it mentioned, “Interested investors are strongly advised to study carefully and thoroughly before making a decision to trade digital assets.”
The regulation, which is expected to affect tokens like Dogecoin as well as NFTs, was enacted Friday with immediate effect, although it’s not retroactive, according to a statement from the regulator.