Zipmex Exchange Temporarily Suspends Trading in Thailand

Zipmex, a cryptocurrency exchange, has announced a temporary suspension of digital asset trading activities in Thailand. This decision, influenced by regulatory obligations set by Thailand’s Securities and Exchange Commission (SEC), emphasizes the need for compliance with legal standards.

According to the statement, after January 31, 2024, when the company stops withdrawals through the website and mobile application, customers are instructed to reach out to customer support for withdrawal assistance. The exchange encourages direct communication with them for any funds or asset withdrawals.

This move follows a series of challenges that Zipmex has encountered recently. The exchange experienced delays in payouts to clients, citing an effort to “maximize profit for customers.” Additionally, Zipmex sought another extension to prolong the moratorium on its debt in Singapore, amidst liquidity issues.

On January 10, 2023, Zipmex came under a new investigation by the SEC Thailand for potential fraudulent activities. Local authorities scrutinize the platform’s operations, questioning whether it may be violating business rules for digital asset service providers, including specific digital asset product offerings.

By January 11, 2023, Zipmex was given a day to acknowledge or deny acting as a digital asset fund manager without proper authorization, as per the SEC’s inquiry. In September 2022, the SEC filed a complaint with local police against Zipmex, alleging non-compliance with local laws. The SEC clarified that Zipmex failed to provide information about digital wallets and cryptocurrency transactions, violating the country’s Digital Asset Law.

As a consequence, Zipmex is compelled to cease operations entirely until it fulfills all necessary legal documentation requirements. The exchange aims to address regulatory concerns and resume activities in accordance with the law.