Thailand’s Cryptocurrency Enthusiasts Call For Tax Guidelines Revamp

  • Cryptocurrency enthusiasts in Thailand are looking to get the Finance Ministry to rethink or delay taxing cryptocurrency tranactions.
  • They hope a revamp will help ensure cryptocurrency startups continue to sue the country, instead of flocking to crypto-friendly nations.

Cryptocurrency enthusiasts in Thailand, a country that’s set to tax crypto investments, are reportedly fighting for the country’s Finance Ministry to rethink or delay applying taxes to cryptocurrency investments, to keep projects developing within the country.

As recently reported, Thailand’s Finance Minister recently revealed it’s set to tax cryptocurrency trades with a 7 percent value-added tax (VAT), while taxing returns with a 15 percent capital gains tax. The move, according to the Bangkok Post, saw various crypto enthusiasts in the country demand a rethink.

Their goal is to get the country’s Revenue Department to consider changing the tax policy so it benefits the cryptocurrency ecosystem. According to Thuntee Sukchotrat, the CEO of local cryptocurrency exchange JIBEX, a revamp could ensure greater competitiveness compared to other local markets.

Per his words, taxes can be an obstacle for startups trying to raise funds through initial coin offerings (ICOs) in the country. Sukchotrat further revealed cryptocurrency wallet services need to apply for a license with the country’s Securities and Exchange Commission (SEC) if they don’t use baht, the country’s fiat currency, to trade cryptos.

Moreover, wallets using baht are required to have a minimum registered capital of 200 million (about $6.4 million), and apply for a license with the Bank of Thailand, the country’s central bank. He added:

"I think that financial and investment literacy will be the most important factor for investor protection. While startups and technology companies [should be able to] raise funds from the Thai market, otherwise we will lose good ICO transactions to other markets.

Thuntee Sukchotrat

Sukchotrat noted that if regulations are too rigid, investors will simply use global cryptocurrency exchanges, where they can trade without having to worry about tax obligations. As covered, some ICO operators and investors in the area flock to Singapore for its crypto-friendly regulations.

Per the exchange’s chef executive, only a handful of small-scale ICOs and investors will keep investing in Thailand if rigid regulations are imposed. Bhume Bhumiratana, a technology consultant at the SEC and the country’s Fintech Association noted that:

• "Tax collection should align with specific assets because digital tokens differ in terms of asset value. It is hoped that the Finance Ministry and the Revenue Department will consider issuing another law to delay the implementation of digital asset tax."

Bhume Bhumiratana

In its report, the Bangkok Post revealed the SEC’s regulatory framework will see ICO operators, cryptocurrency exchanges, brokerage firms, and those operating cryptocurrency wallet services apply for licenses with the regulator. ICO operators will, in fact, have to inform it before their token sales.

TRON’s Justin Sun Giving Away $1.2 Million for UBI, 50,000 TRX to Telegram Group

Michael LaVere
  • TRON's Justin Sun is supporting US presidential candidate Andrew Yang's UBI by giving $1.2 million to 100 people in 2020.
  • Sun and the TRON Foundation also announced a 50,000 TRX ($75K) giveaway through the official TRON telegram group.

TRON founder Justin Sun has announced that he will be giving away $1.2 million to 100 people next year to support U.S. presidential hopeful Andrew Yang’s universal basic income (UBI) program, in addition to kicking off a 50,000 TRX ($75K) giveaway for users of the cryptocurrency’s Telegram group. 

Sun Supporting Andrew Yang’s UBI

Sun, who paid $4.6 million earlier in the year to host a charity lunch with Warren Buffett, has now pledged to give $1.2 million to 100 people in 2020. TRON's founder also announced that one of the 100 selected for the giveaway will be invited to his charity lunch, which was originally postponed after Sun came down with kidney stones. 

Sun has asked U.S. presidential candidate Andrew Yang for assistance in the selection process. Yang, who has a background in entrepreneurship, has built his campaign upon the idea of universal basic income (UBI), which would guarantee U.S. citizens a monthly stipend. In addition to championing the idea on the campaign trail, Yang has pledged to distribute $1,000 per month to 10 people for the next year. 

Sun has taken the movement a step forward, by pledging to support 100 people at $1000 per month for the entirety of 2020.

TRX Telegram Giveaway

In addition to promoting UBI and Andrew Yang’s cause, Sun also announced the start of a 50,000 TRX giveaway, worth $75K, for community members using TRON's telegram channel. According to tweets published by Sun and the TRON Foundation on Sept. 16, TRON supporters can gain TRX by joining and inviting others to the coin’s official Telegram group. 

In order to qualify for the promotion, users will need to engage in a conversation with the @TRONEnBot through the telegram application. From there, the TRX payout will be tied to the number of invited users who join the Telegram group. The first and second place prize are worth 5000 and 2500 TRX, respectively, with the remaining 32,500 TRX being split among the rest of users.

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