The Securities and Exchange Commission of Thailand (SEC) has issued a warning to investors against investing their money in initial coin offerings (ICOs) that are not approved by the SEC. The financial regulator announced the investment risk of participating in ICOs, which are promoted through a variety of online media and are not accredited and licensed by the SEC.
The Thai SEC recently conducted its investigation into a number of dubious digital asset offerings that were actively advertised on social media platforms to Thai investors. The results of the investigation revealed the existence of nine such cryptocurrency offers unauthorized by the regulator.
According to the conclusion of the Commission, five coins are considered illegal: Orientum (ORT), OneCoin and OFC Coin, Tripchchain (TXC), TUC and four ongoing ICOs: G2S Expert, Singhcom Enterprise, Adventure Hostel Bangkok and Kidstocurrency.
According to the main market regulator, the initial coin offerings did not apply to the SEC for a license, making them a huge investment risk for people who may have already invested their money in them. The SEC also indicated that the issuers and promoters of the identified tokens and ICOs did not submit their smart contracts for evaluation and did not use licensed ICO web portals.
Disclosed information to the public that should serve as a basis for making investment decisions is incomplete or missing, and there is no reliable evidence of the availability of the required liquidity for trading on crypto exchanges or converting to fiat currencies. Therefore, investors investing in these projects are buying worthless artificial assets that cannot be sold in the future.
The SEC concluded that these investments do not comply with the regulatory principles published in October 2017.
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