The Cabinet of Thailand, the executive branch of the country's government, has provisionally passed two royal decree drafts aimed at regulating cryptocurrencies, a report states.
The drafts - covering both cryptocurrency and initial coin offering transactions, as well as a possible tax on crypto capital gains - first received agreement from government ministers on Tuesday.
Before becoming law, the legislation must be further reviewed by the Council of State, an advisory body reporting to Thailand's prime minister on legislative matters, before being re-submitted to the cabinet for final approval. That could occur as early as next week, according to the Bangkok Post.
Additional feedback from various regulators in the country will also be taken into consideration upon approval in principle of the decrees, including the Ministry of Finance, the Bank of Thailand, the Securities and Exchange Commission and the Anti-Money Laundering Office, the report says.
A royal decree is one form of legislation in Thailand, which sets rules on emergent issues that may concern public safety.
The latest legal effort comes amid rising illicit use of cryptocurrencies in money-laundering, crime and tax avoidance, Thailand's deputy prime minister, Wissanu Krea-ngam, was quoted as saying
However, the deputy PM stressed that the intent is not to ban cryptocurrency activities, such as trading and initial coin offerings, but rather to establish formal rules to protect investors.
In addition, the second royal decree also aims to bring taxation on capital gains from cryptocurrency investments. The rate of the tax has yet to be determined, but is likely to range between 10 and 15 percent, according to the Post.
Previously, industry experts, through public consultation, have called for cryptocurrency rules to be implemented by the Securities and Exchange Commission (SEC) in Thailand.
To that effort, Wissanu also said in the report that the Finance Ministry and the SEC are also working on an additional organic law that would require cryptocurrency exchanges, brokers and dealers to register with the relevant authorities.
Thai government house image via Shutterstock
The leader in blockchain news, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups.
Momentum Is Building to Block Ethereum ASICs
Several ethereum miners and developers have come forward with the goal of stopping specialized mining hardware from effectively operating on the network.
Underway since April, the controversy surro
Brazil's Largest Independent Broker Is Launching a Crypto Exchange
The parent company of Brazil's largest independent broker is setting up a cryptocurrency exchange, Bloomberg reported Thursday.
Grupo XP, which owns brokerage firm XP Investimentos, plans to launch
XRP Shot Up 75% During Friday's Bullish Trading Session
The price of XRP spiked as high as 75 percent above its opening price at one point during Friday's trading session amidst a broader market bull parade.
At roughly 14:45 UTC, the price of XRP rose
US Congressman Drafts Bills to Aid Blockchain Development
U.S. Representative Tom Emmer wants to support the development and use of blockchain technology and cryptocurrencies.
To that end, the lawmaker announced a trio of blockchain-focused bills Friday,
Report Finds Cryptojacking Instances Jumped 400% In A Year
Instances of cryptojacking malware have jumped more than 400 percent since last year, a new report finds.
A collaborative group of cybersecurity researchers called the Cyber Threat Alliance (CTA) p
Bitmain CEO Announces New 7nm Bitcoin Mining Chip
The bitcoin mining industry is having an exciting couple of days.
Just a day after Bitfury revealed a new 14nm mining chip called the Bitfury Clarke, Bitmain has upped the ante with the announcemen
Brave Browser Is Using Civic's Blockchain Platform to Verify Publishers
Privacy-focused internet browser Brave will begin using blockchain identity startup Civic's verification services to ensure publishers are paid for their content with Brave's Basic Attention Token (BA
US Navy Launches Blockchain Research in Mission to Improve Tracking System
A U.S. Navy command is exploring the potential of blockchain technology in tracking aircraft parts.
The Naval Air Systems Command (NAVAIR) – which provides material support for aircraft and airborn