The central Bank of Thailand has banned financial institutions in the country to carry out the five key activities related to digital currency. It allows in particular not to the customers of the exchange of crypto-currencies with credit cards.
Five activities related to crypto-currencies will be banned
The country’s central Bank issued a circular on Monday asking financial institutions not to become involved in the transactions of crypto-currencies. This decision is mainly explained by the fact that this authority is concerned about the future of the virtual currency. She wanted first to put regulations in place before allowing such an activity. Mr. Wisit Santiprabop, governor of the central Bank, has signed the circular which describes the five key activities related to crypto-currencies, and that will be prohibited in banks in thailand. Banking institutions will no longer have the right to invest in the virtual currency, exchange, create platforms for their trading, allowing customers to use credit cards to buy crypto-currencies and advise our clients on such an investment.
Here’s a video announcing the ban on credit cards for the purchase of crypto-currencies :
The country’s central Bank has stated that crypto-currencies are not legal in Thailand. This authority is concerned that this technology be used for illegal purposes such as money laundering or to finance terrorist activities.
Banks must meet this measure
Ms. Prasanee Auiyamaphan, assistant executive of Bangkok Bank, said that their bank will no longer be able to exchange crypto-currencies. Mr. Thana Thienachariya, vice-president of Siam Commercial Bank, said that its subsidiary, Digital Ventures Co, had recently formed a strategic alliance with Ripple to provide a payment service between Japan and Thailand. The latter explained that their bank will discuss this issue with the central Bank.
Banks in the United States and the United Kingdom have also banned their customers to buy crypto-currencies with their credit cards.
Source : NewsBitcoin