Financial regulators in Thailand are about to get tough on crypto. The move follows a tumultuous year in which Asians have suffered major losses. On Dec. 13, the Bangkok Post reported that the Thai Securities and Exchange Commission is preparing stricter rules for crypto assets. Thailand’s SEC is setting up a working committee to study the crypto industry. Additionally, it will consist of relevant government agencies and private sector representatives. They will be tasked with suggesting ways to improve the laws to adapt to the changing environment.

The regulator cites the same “investor protection” motivations, but tighter rules usually make things tougher for retail investors. Furthermore, the bankruptcy of the Celsius Network had a knock-on effect on Thai investors using the Zipmex platform. Asian retail investors were also hit hardest when FTX collapsed in early November.

According to the Thai SEC, the recent events “reflect the vulnerability of the digital asset industry and the lack of proper oversight.” The regulator used new regulations in the U.K., Japan, and Singapore as examples of what it wants to replicate. However, Singapore remains the region’s crypto hub and does not wish to stifle innovation or investment.