On March 10th, the Thai Securities and Exchange Commission officially announced on March 8 that it is seeking public comments on a draft regulation prohibiting virtual asset service providers (VASPs) from providing or participating in any type of encrypted pledge and lending transactions.
According to the SEC’s policy, VASPs should not be allowed to use users’ deposits and provide lending services to prevent possible damage to investors in the event of possible termination of services.
Additionally, the draft regulations are expected to further clarify the scope of regulation for digital asset businesses, as they are not currently fully regulated, the SEC said, adding, “The proposed regulations are designed to provide greater protection for investors, reduce associated risks, and Prevent people from misunderstanding that deposit and loan servicing is subject to the same regulations as regulated digital asset businesses.”