Thai PM urges extra crypto regulations the government’s onto fighting tax fraud with blockchain | Digital Asia
Digital Asia News Update
Deputy Prime Minister of Thailand Wissanu Krea-ngam spoke at the Counter-Terrorism Financing Summit and pushed for new measures in crypto security
Despite having an already applied regulatory framework for cryptocurrencies since earlier this year, the Deputy Prime Minister of Thailand Wissanu Krea-ngam noted in his speech at the Counter-Terrorism Financing Summit the need to keep up with possible threats in crypto security. Krea-ngam believes that both domestic and international consumers can benefit if Thailand adds more measures to the security, as reported by Cointelegraph.
Krea-ngam further highlighted the importance to not be satisfied with current security protocols because threats in cryptocurrencies like funding terrorism or money laundering can happen.
“The laws need to be amended in the future so that we can better keep up with technological changes,” Krea-ngam said, noting the security challenges presented by the anonymous nature of many digital assets.
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Following closely to the PM’s address, some of the country’s financial institutions have embraced the industry cautiously.
In August, the Bank of Thailand (BoT) allowed local banks to set up subsidiaries for dealing with crypto business, which makes Thai banks are now able to issue digital tokens, provide crypto brokerage services, run crypto-related businesses, and invest in cryptocurrencies through subsidiaries.
However, BoT made clear that all banks and other financial institutions are still banned from direct dealing with cryptocurrencies.
Not only dealing with cryptocurrencies, but Thailand has also adopted blockchain.
Just yesterday, the Thai Revenue Department announced its plan to track tax payments using blockchain technology and machine learning. The department’s director general Ekniti Nitithanprapas said that the application seeks to improve both the efficiency and accuracy of probes into suspicious tax affairs.
The technology will be designed to automatically reconcile tax information and identify irregularities, based on common tax avoidance methods. The system will allow for quicker tax refunds, as well as providing greater transparency throughout the tax system.
The move by the revenue department is only weeks apart from the earlier announcement by the Ministry of Commerce about its own blockchain applications plan for areas like trade and finance, agriculture, and copyright.
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As blockchain applications have made it into the country’s authorities, the effectiveness in execution and the impacts remain in question, at least until it finally rolls out.
Photo by Dan Freeman on Unsplash