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SEC warns the public of solicitation for investment in unapproved digital assets

Wednesday 8 May 2019 | No. 47 / 2019

Bangkok, 8 May 2019 – The SEC advises the public to keep away from solicitation for investment in three digital assets or initial coin offerings (ICO) that have not been approved by the SEC, namely (1) Cryptomining Farm or GHS, (2) ZGW and (3) GJM.

Following public referrals and the SEC’s further inspection, it was found that investment in the aforesaid digital tokens had been solicited online via several social media channels such as website, Facebook, Line and YouTube.

The public should be aware that none of the three digital assets or ICOs have applied for or obtained an approval from the SEC. Thus, anyone receiving information or solicited to invest in such digital assets is strongly advised to consider the associated risks carefully and take into serious consideration the following factors:
(1) These ICOs have not been approved by the SEC in compliance with the governing law;
(2) These ICOs have not been screened by the SEC-approved ICO portals;
(3) Necessary and sufficient information on these ICOs may not be disclosed to support investors’ decision making;
(4) None of the intermediaries or selling agents under the SEC supervision have been licensed to undertake digital asset businesses;
(5) These ICOs may lack trading liquidity and may not support cash conversion.

In addition, it was found that there are solicitors who promise or guarantee high returns from such ICOs investment in the form of Ponzi scheme, luring investors into quick, ill-informed decisions with the expectation for high returns and even topped up benefits from signing up other persons into the network scheme. These solicitations of digital asset investment may also lack clear and reliable details of business plans, products, platforms or working team.

The SEC therefore strongly urges the interested public to become fully aware of the related risks, and contact properly licensed digital asset business operators only in case of deciding to invest in such product. The Licensee List and more information on digital assets are available on www.เสี่ยงสูง.com. It should be noted however that so far no issuers of ICOs or digital tokens have obtained an approval, and no application for ICO approval or the registration statement has been filed with the SEC.

In case of tips on suspicious acts, please call SEC Help Center at 1207 so that the SEC can conduct further investigation. In case of liable offenses under other laws, the SEC will cooperate with related agencies for further action.