The cryptocurrency exchange Zipmex is the subject of a new investigation by the Securities and Exchange Commission (SEC) of Thailand for non-compliance with local regulations.
A Bloomberg report revealed that local authorities are investigating activities they believe may violate trading rules for digital asset service providers. This includes its offering of certain digital asset products.
According to the Thai SEC, Zipmex has until January 12 to clarify whether it has been operating as a “permissionless digital asset fund manager” in Thailand.. If true, the company would have needed to obtain a permit before doing business in the country.
Zipmex is in the process of being acquired by V Venturesa subsidiary of Thoresen Thai Agencies PCL, for about $100 million. The exchange reportedly plans to unfreeze customer accounts using the funds from the acquisition by April 2023..
Cointelegraph contacted Zipmex to clarify the matter.
The situation between Zipmex and the Thai SEC has been ongoing since late last year. On September 7, the agency sued Zipmex, alleging “incomplete” information provided by the cryptocurrency exchange in its materials on compliance procedures.
This all comes after Zipmex publicly faced financial problems in July 2022., which included halting withdrawals and freezing accounts. The tension stemmed from a prolonged bear market that led to the closure of a number of businesses in the industry, as well as massive layoffs.
Zipmex had been in talks with the Thai SEC in August for a possible recovery plan..
Since then, Thai regulator has announced plans to tighten regulations regarding cryptocurrencies, focusing mainly on investor protection. It is also intended to create strict guidelines for crypto-related ads, along with a nationwide ban on crypto lending.
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