According to recent reports, the Krungthai Bank of Thailand has terminated Cryptocurrency transactions via bank accounts of an exchange, named Thai Digital Asset Exchange (TDAX).
Krungthai Bank has followed the footsteps of another significant Thai bank, Bangkok Bank, which had previously stopped TDAX’s accounts and terminated transactions. Similar step by The Krungthai Bank, one of the largest financial establishment of Thailand under the Ministry of Finance has risen concerns from the Crypto-world.
Bangkok Bank’s take on this issue had set the example and Krungthai finally sanctioned the decision last week. Thailand’s Central Bank had last month presented a notice, stating the need of immediate restraint from Cryptocurrency. Somchai Subjoins, chairman of Krungthai and secretary of Ministry of Finance ,asked and ordered the banks to stop Crypto transactions with TDAX through the Bank’s account. However, the reasons behind the supervision on the digital sector remains unclear.
TDAX is a Thai- local, Cryptocurrency Exchange which still has it’s accounts in two more banks Kasikornbank (Kbank) and Siam Commercial Bank (SCB). Another exchange, BX, got it’s accounts terminated in Bangkok Bank but it is still not sure “ whether the termination occurred on the same day as TDAX’s termination”.
TDAX had developed plans for launching Initial Coin Offerings (ICOs) but this restrictions imposed by the eminent banks, made them decide on postponing the due date.
TDAX accomplished successful completion of ICO for Jfin coins where 100 million tokens were sold for 6.60 baht per token. The TDAX founder and Chief Executive Officer, Poramin Insom said, “Although there are five or six ICOs in the pipeline, the exchange has decided to impose a two-week postponement because market participants expect the SEC to unveil its ICO regulatory framework soon…We are waiting for the ICO regulations from the [Thai] SEC.”
The government of Thailand is processing it’s regulatory stances for the Cryptocurrency Industry and the ultimate policies would be out on 8th of March.