The Thai Securities and Exchange Commission (SEC) has launched an investigation into the crypto exchange Zipmex.
The Thai’s SEC investigation comes after it was revealed that the company is in talks to be bought by a Singapore-based cryptocurrency firm.
Thai monetary authorities are currently investigating a potential breach of local rules. Moreover, concerning digital asset service providers at the cryptocurrency exchange. The probe is believed to be related to Zipmex’s proposed acquisition by the Singapore-based firm, which has not been named.
The Thai Securities and Exchange Commission has given Zipmex until January 12th. In order to clarify whether it is in violation of the law for operating without a permit as an unapproved digital asset fund manager. If this accusation proves true, then the firm must obtain proper authorization before engaging in any activities within Thailand’s borders.
Last year, the Thai SEC started their investigation into Zipmex’s operations. On September 7th, they filed a police report against them for providing “incomplete” information in their compliance procedure documents. This situation has been escalating ever since then.
V Ventures, a subsidiary of Thoresen Thai Agencies PCL, is on the brink of finalizing an acquisition deal with Zipmex worth $100 million. The new owners have promised to restore user accounts by April 2023 through funds generated from this purchase.
Despite this, many questions remain unanswered. The Thai SEC continues to investigate the company’s activities while users wait patiently for a resolution. It appears that Zipmex will not be able to operate in Thailand. Until they can prove their compliance with local regulations.
Thailand’s SEC Investigates Zipmex
The future of Zipmex and cryptocurrency trading in Thailand hangs in the balance. The Thai SEC and Zipmex must come to a conclusion before any more time is wasted. Until then, it is unclear how this situation will play out.
In August, Zipmex was in conversations with the Thai SEC regarding a potential remediation approach. Subsequently, the Thai government declared that they are amending its legislation to include more robust safeguards for investors when it comes to cryptocurrency investments and projects.
Furthermore, strict regulations will be set up concerning cryptocurrency-related ads. In addition an outright ban on crypto lending throughout Thailand
