Author Topic: Bitcoins banned in Thailand  (Read 885 times)

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Offline Johnnie F.

Bitcoins banned in Thailand
« on: July 30, 2013, 08:57:52 AM »
Bitcoins banned in Thailand

Thailand has become the first country to ban bitcoins after the central bank ruled it is not a currency.

The ruling means it is illegal to buy and sell Bitcoins, buy or sell any goods or services in exchange for Bitcoins, send any Bitcoins to anyone outside of Thailand, or receive Bitcoins from anyone outside the country

 In a statement on its website, Bitcoin said it had given a presentation to the Bank of Thailand about how the currency works in a bid to operate in the country.

However, at the end of the meeting, "senior members of the Foreign Exchange Administration and Policy Department advised that due to lack of existing applicable laws, capital controls and the fact that Bitcoin straddles multiple financial facets... Bitcoin activities are illegal in Thailand".

The ruling means it is illegal to buy and sell bitcoins, buy or sell any goods or services in exchange for bitcoins, send any bitcoins to anyone outside of Thailand, or receive bitcoins from anyone outside the country.

Bitcoin said it "has no choice but to suspend operations until such as time that the laws in Thailand are updated to account for the existance [sic] of Bitcoin", adding that "the Bank of Thailand has said they will further consider the issue, but did not give any specific timeline".

Launched in 2009 in the wake of the global financial crisis, bitcoins are "mined" using complex computer source code. The virtual currency started as a relatively niche method of payment, devised by an anonymous programmer, but can now be used for anything from online gambling to pizza delivery.

Earlier this month, the Winklevoss twins - who famously sued Facebook founder Mark Zuckerberg for $140m, filed to float their stash of bitcoins on a conventional stock exchange.

However, in June it was reported that US authorities are examining the use of virtual currencies such as bitcoins amid fears that Americans are using them to evade taxes.

the Telegraph
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