Thailand’s SEC has adopted stricter crypto advertising regulations.
The Securities and Exchange Commission (SEC) has tightened rules on crypto company advertising, joining countries such as Singapore in their efforts to protect retail investors in the aftermath of a $2 trillion selloff in digital asset markets.
According to an SEC statement sent this week via email, advertisements for virtual tokens must include clear warnings about the risks of investing in digital assets.
The intention is to provide more safeguards for small investors.
This movement occurred after Zipmex (Thailand), a country-licensed cryptocurrency exchange platform, halted some withdrawals.
According to the SEC’s statement, the rules have been tightened after it was discovered that some advertisements contained no warnings about cryptocurrency risks. Meanwhile, the other promotions only featured positive information.
Other new digital assets advertising regulations are:
- False, misleading, or exaggerated claims are not permitted in advertisements.
- Risk warnings must be clear and easy to see.
- The advertisements must present balanced viewpoints, mentioning both positive and negative factors.
- Cryptocurrency companies must limit their advertising to official channels such as their websites.
