Thailand is gaining momentum in the cryptocurrency market as retailers and real estate developers start to accept cryptocurrencies. Instead of trying to slow down the rate of adoption of cryptocurrency amongst citizens of Thailand by banning cryptocurrency trading and mining, the country’s governing bodies are putting a regulatory framework in place.
This framework will implement a 15% capital gains tax on profits for cryptocurrency trading according to an anonymous source inside the Finance Ministry, who disclosed information to the Bangkok Post last month stating that all taxpayers, investors, and mining operators who gained from cryptocurrencies will be subject to a 15% holding tax.
Thailand’s central bank has also expressed its intention to trial a central bank digital currency in the second quarter of 2022. Furthermore, the country will launch its own utility token, the TAT token, which is part of a planned crypto-tourism campaign.
To add to all of these events, the latest development in Thailand is that the Thailand Stock Exchange will add support for digital assets that will allow traders to trade with Bitcoin and other popular cryptocurrencies.
These cryptocurrency-related events taking place in Thailand give the country’s regulatory and governing bodies no choice but to design and implement a regulatory framework around cryptocurrencies. Thailand’s financial authorities will proceed to regulate cryptocurrencies as a means of payment despite fears that their use poses a threat to the country’s financial sector.
Instead of following the path taken by other countries, such as China, to crackdown and ban cryptocurrency investing and mining, Thailand will explore how cryptocurrency and blockchain technology can help benefit the nation, and will put in place a regulatory framework that is mutually advantageous for citizens and the country’s governing bodies.