The Securities and Exchange Commission (SEC) urges people to exercise caution when transacting with decentralized financial services. (Decentralized Finance: DeFi) as it is risky and is not regulated by Thai regulators.
Currently, DeFi services and investments are becoming more and more popular, especially DeFi that offers deposit taking & lending services in both form of deposit taking & lending. Using digital assets for further benefits, such as lending or re-investing Such services often show high returns to incentivize traders to enter into transactions.
However, any DeFi transaction carries a number of risks. both the risks from the products and services which can be complicated The risk of lending digital assets exceeds the collateral value. (overleverage) the risk that users may not receive enough information. or being exploited by service providers. There are also technical and security risks. including terms, conditions, and functionality that may have vulnerabilities as well as being deceived and defrauded such as the Rug Pull, etc.
Therefore, traders are advised to study the DeFi program before joining the program. Caution should be exercised in transactions as deposit taking & lending services are not regulated by the financial and capital market regulators in Thailand. Currently, the SEC is in the process of considering. Review of digital asset regulatory guidelines It does not support deposit taking & lending transactions, either in the form of decentralized finance or centralized finance, and is in discussions with relevant authorities to determine regulatory guidelines to properly protect investors.
refer : Thai SEC News (sec.or.th)
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