There is no denying that the crypto industry has witnessed a massive growth in the last two months. This has led to greater scrutiny from regulators around the world who are now placing more emphasis on regulating the use of cryptocurrencies in their jurisdiction.
This, no doubt, is one reason why Thailand’s Securities and Exchange Commission (SEC) is trying to hear from the public on the qualifications a crypto investor must have, especially in light of the issues that arose with Dogecoin and GameStop recently. The financial regulator is looking to better protect citizens of the country when they interact with such assets in the future.
According to the announcement made by the regulator, the opinion of the masses was needed on projected qualifications for crypto investors which would specify their earnings and also their trading experience. In order to ensure that people actively participate in this process, a live Facebook hearing session will be held on the Thai’s authorities official page from the 24th of March to the 27th of the same month.
Requirements for Thai Crypto Investors
The Thai regulator is looking to place a limit on trading digital assets in the country by proposing that investors in the space declare their net-worth. This means that only those worth, at least, 10 million baht which is approximately $332,500 with a yearly revenue of 1 million baht ($33,250) can invest in cryptocurrencies.
Also, the regulator mentioned that this would-be investors are not allowed to add their residential properties to their net worth declaration. Not only that, it is also mandatory for investors to have sufficient knowledge of the crypto market and a minimum experience of two years of trading securities or derivatives before they can be authorized to participate in investing. However, for an interested investor without this skill set, the available alternative would be to get a special certification from authorized institutions in the country.
Ruenvadee Suwanmongkol, the SEC’s secretary-general, stated in a report by Bloomberg that those who lack these requirements can engage in trading in the crypto market only through government-licensed financial advisers or fund managers.