Thailand's Securities and Exchange Commission (SEC) has reiterated that digital asset exchanges are not allowed to list meme tokens, citing a lack of fundamental value and a high risk of price manipulation.
This move aims to maintain order in digital asset trading and protect investors from unfair practices.
Meme tokens, which often lack a clear purpose or utility and are highly influenced by social media trends, are seen as unstable investments.
The SEC's directive is consistent with regulations issued on June 10, 2021, the Notice Regarding Rules for Businesses in Digital Assets.
While regulations restrict exchanges from offering meme tokens, digital asset brokers are allowed to offer meme token services under strict conditions.
They must act only as a broker or agent and ensure that their clients receive the best possible terms from the various exchanges with which they have connections.
The SEC cautions that brokers who also hold exchange licenses should not mislead the public into believing that requests for meme tokens are processed on the exchange platform.
Instead, such orders should be routed to other sources only in their broker capacity. The Commission also emphasizes that actors and trading partners must comply with these guidelines.
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