Thailand’s Securities and Exchange Commission has banned crypto companies from providing staking and lending services.
Related: CB of Thailand demanded from banks to stop working with cryptos
According to the official statement, the regulator prohibits digital asset businesses to offer or support crypto depository services, including the payment of returns to depositors and lending. The rules aim to protect traders and the general public from the associated risks. According to the SEC, services aren't regulated by any financial authority both in the country and abroad which may lead to damage to the people.
The SEC mentions that at present there are a number of foreign service providers who are facing liquidity problems and stopped providing services, and withdrawals of customer crypto holdings. Over previous month, crypto lenders including Celsius, Babel Finance, and Zipmex halted withdrawals. Last week the SEC filed a complaint against Zipmex.