Thailand has been promoting itself as a crypto-friendly nation for a while. Last year, the government waived VAT taxes on crypto investments, paired with new corporate tax relaxations introduced this March. Still, the Thai Central Bank keeps advocating for stricter crypto regulations, imposing a ban on crypto asset payments in 2022.
The ban forbids crypto payments for local goods and services but allows investments and holdings of crypto in digital wallets. Residents can still day-trade crypto and even deposit funds with cryptocurrencies at Thai online casinos. Government intentions and regulations remain unclear. In this article, we will explain the current state of crypto in Thailand and clear up the state’s crypto casino conundrum.
Thailand Crypto Policy
Thailand started regulating cryptocurrencies in 2018 with the Royal Decree on Digital Asset Business. The decree puts crypto under the Securities and Exchange Commission (SEC) scope, legalizing the use of crypto and the operations of crypto-based businesses in the country.
Thailand’s Ban On Paying With Crypto Assets
Thailand’s SEC introduced a temporary ban on purchasing goods using crypto coins or other digital currency in 2022. The ban allowed citizens to trade and gather crypto in their digital wallets but prevented them from trading it for goods or services. It also banned crypto ads to discourage people from using it altogether.
These developments shocked Thais, especially given the government’s attempts to promote the country as a crypto-safe destination. But a deeper look helps us understand the decision.
After a turbulent year for cryptocurrency globally, the collapse of FTX, and a sudden plummet in the price of popular tokens like Bitcoin, crypto became an unstable investment. At the time, the ban seemed the best way to prevent people from making unsafe investments.
Thai Government Crypto Tax Breaks Announced
After the economy somewhat stabilized, the Thai government announced new crypto regulations. After exempting all citizens from the VAT on profits made from crypto trades, in March 2023, authorities announced waiving income tax and VAT for companies that issue digital tokens. The goal was to try and boost the influx of crypto in the country at the expense of around $1 billion lost in tax revenue.
Why The Sudden Change of Heart?
The initial aim of the Thailand government and the Central Bank was to protect their currency. Trading goods for crypto instead of Thailand’s FIAT currency will leave the central bank helpless in case an economic crisis emerges. And that crisis loomed above everyone’s heads at the end of 2021.
As soon as things stabilized, the government returned to the initial plan regarding cryptocurrencies. With nearby countries like Singapore emerging as much larger and more stable competition, Bangkok must catch on quickly if it wants to become a crypto hub anytime soon.
Can You Bet In Crypto Casinos In Thailand?
Although the betting laws are ambiguous, crypto betting is still prevalent in Thailand. Since the country has no domestic casinos, your best bet is an offshore licensed casino. Finding one should not be a problem, as hundreds of online crypto casinos currently offer services to Thais. If laws get looser, as expected, many more will likely follow.
How To Bet In A Crypto Casino In Thailand?
Betting in crypto casinos in Thailand is the same as in any other place. The first step is finding a site that provides casino services in the country. That will be easy, as Thai authorities allow foreign online platforms to operate there. Afterwards, the process is standard. You check what cryptocurrency the casino accepts. You find one that accepts your preferred crypto coins (or trade for the ones it does), create an account, and start betting.
The Benefits of Crypto Casinos
The rise of crypto casinos as the preferred payment method for players is undeniable, driven by many compelling benefits. Cryptocurrency transactions offer enhanced anonymity, robust security measures, rapid processing times, and cost-effectiveness. Nonetheless, the recent hacker attack on Crypto Casino Stake.Com has cast a shadow of caution among users.
Which Cryptocurrencies Do Online Casinos Accept In Thailand?
All cryptocurrencies are legal in Thailand. However, not all of them are widely accepted in online casinos. Here is a list of Thailand’s most widely used cryptocurrencies, ordered by popularity: Tether, Ethereum, Bitcoin, Dogecoin, Litecoin, and Binance Coin.
Final Thoughts
The crypto scene in Thailand has suffered a lot of turmoil over the past three years. Authorities wanted to promote the country as a crypto hub but quickly switched plans and imposed strict regulations on all cryptocurrencies. The changes left many casino providers and players confused about what they can and can’t do.
Things are finally becoming clearer now. Players can bet in online crypto casinos using various currencies. They can also trade these currencies and hold them in their wallets but can’t purchase any goods and services. Additionally, VAT taxes on crypto profits are waived, at least until the end of 2023. We expect Thailand’s crypto laws to undergo more changes and become more relaxed in the coming months.
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