Four New Crypto Firms Apporved to Operate in Thailand

Thailand's SEC (Securities and Exchange Commission) has reportedly granted operating licences to four more digital asset operators.

The four new operators include Krungthai XSpring (KTX), a crypto broker; T-BOX (Thailand), a crypto exchange; Coindee, a crypto advisor and fund manager; Leif Capital Asset Management, a fund manager.

The four firms still need to undergo SEC inspections before they can begin operation.

The new approvals will bring the total number of digital asset businesses licensed to operate in Thailand to 21 – comprising 3 fund managers, 9 exchanges and 9 brokers.

The latest approvals come as the SEC continues to investigate Zipmex, one of  Thailand's leading digital asset exchanges which also operates in Singapore, Indonesia and Australia.

Zipmex, founded by Thai and Singaporean partners, suspended all withdrawals on 20 July​, citing "volatile market conditions" – an explanation the SEC said was inadequate and may have violated its trading rules.

Zipmex attributed its problems to liquidity issues experienced by its trading partners including crypto lenders Babel Finance and Celsius. Babel Finance halted withdrawals in June and Celsius filed for bankruptcy on 13 July.

In response to an SEC order, Zipmex on 22 July allowed customers to resume trading and make withdrawals from their trading wallets, and on 2 August it outlined a plan to resume withdrawals in the so-called "Z-wallets"​ that were used to channel funds into Celsius and Babel Finance.

Zipmex said it has also applied for a moratorium on debt in Singapore for five of its business entities​, to protect them against legal claims or proceedings for up to six months. A moratorium hearing is scheduled for 15 August.

"The effect of this moratorium is to provide Zipmex with sufficient time to address problems and find a solution which will lead to the best customer outcomes," the company said.

Zipmex said it plans to write off USD 5 million due to it from Celsius, work towards securing the return of USD 48 million in assets from Babel Finance, and is advancing fundraising conversations.

The SEC has recently forced crypto exchange Huobi to halt operations in Thailand​. The company's services were suspended since last September for failing to comply with rules and regulations and an inability to fix issues in its trading and IT systems.