Thailand’s Securities and Exchange Commission (SEC) announced on February 23 that it had made a recommendation to the Ministry of Finance to revoke the digital asset business license of cryptocurrency exchange Zipmex. This is the latest in a series of setbacks for the exchange in Thailand.
At the February 21 meeting, the SEC also decided that the operational suspension imposed by Zipmex on February 1 would continue, with customers having until March 11 to request the return of their assets on the exchange. After that date, Zipmex will be required to place unclaimed assets into a “trusted and secure system” and report to the SEC. The agency noted: “Even after its license has been effectively revoked, Zipmex retains its status as a limited company and has corresponding rights, responsibilities and obligations, including the possibility of being subject to legal proceedings.”
This comes after Zipmex failed to meet deadlines to increase net capital and improve its personnel and management structure, which the SEC deemed "inadequate and inadequate." On February 1, Zipmex was given 15 days to comply with the SEC's regulations. At the time, it was ordered to suspend business operations. On February 8, the SEC said it would file corruption charges against former Zipmex CEO Akalarp Yimwilai.
The exchange’s troubles began in 2022. On July 20 of that year, the exchange suspended withdrawals for several weeks amid concerns it was at risk from bankrupt cryptocurrency lenders Babel and Celsius. Three days later, Zipmex restored access to trade wallets, but its Z wallet remained blocked the following year. Coinbase tried unsuccessfully to acquire Zipmex in 2022. Coinbase ultimately made a "strategic investment" of an undisclosed size, but was not listed among the exchange's top three investors in an August report.
Zipmex applied for debt relief in Singapore on July 27, 2022. In September 2022, the SEC recommended that police take action against Zipmex for failing to provide information under the country’s Digital Assets Act. The following January, it faced additional SEC scrutiny as it prepared to be acquired by Thai investor V Ventures. That deal fell through, too.
The U.S. Securities and Exchange Commission (SEC) issued a license to Zipmex in January 2020. The exchange operates in Thailand, Indonesia, Singapore and Australia.
