Before Central Bank of ThailandA director who served as a director warned of the imminent crypto collapse. The former manager, who predicted that “a cryptocurrency bubble will emerge at the end of March when liquidity in the financial market drops,” detailed his views.
Former Bank of Thailand (BOT) Director, Nation reported on Sunday. Anusorn Thammajaiwarned that the cryptocurrency market will collapse in a few months. Former central bank governor said:
“A cryptocurrency bubble may emerge at the end of March, when liquidity in the financial market drops due to moves by central banks to reduce quantitative easing and raise interest rates.”
crypto bubbleAdding that the first wave of the coin has already passed and many cryptocurrencies have lost more than 40% this year, he believes that the general trend in the markets will negatively affect cryptocurrencies.
He added that while cryptocurrency helps create a financial ecosystem in the digital economy, it also poses risks to financial systems. It also warned investors holding risky assets to be more cautious in the second quarter of this year.
In addition, Thammajai emphasized that he supports the Thai government’s plans to tax crypto transactions and tighten cryptocurrency regulations. He stated that illegal businesses use cryptocurrency for money laundering and other illegal financing purposes.
As will be remembered, Thailand recently relaxed its crypto tax rules, removing the planned 15% withholding tax. Last month, the Bank of Thailand, the Securities and Exchange Commission of Thailand and the country’s finance ministry announced that the cryptocurrency would be regulated as a means of payment.
Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, Koinfinans and the author of this content cannot be held responsible for personal investment decisions.