The Finance Minister revoked Zipmex’s digital asset business license.
Zipmex failed to rectify issues related to its operation as previously outlined by the SEC.
Zipmex must transfer assets back to customers within 15 days.
Thailand’s Finance Minister, acting on a recommendation from the country’s Securities and Exchange Commission, has revoked the digital asset business license of crypto exchange Zipmex.
The revocation took effect on May 28, 2024. According to local media, the decision stemmed from concerns over the company’s financial condition and management structure, which could potentially harm customers.
Specifically, a recent SEC report revealed that Zipmex, which held licenses as a digital asset trading center and broker, exhibited financial and managerial deficiencies that did not meet the standards set by the Digital Asset Decree of 2018. These shortcomings raised concerns about the company’s ability to operate efficiently and responsibly.
In January, the SEC Committee ordered Zipmex to rectify its operations. However, the company failed to do so within the given timeframe. Consequently, in February, the SEC Committee ordered Zipmex to suspend its crypto business and address various operational issues, including returning assets to customers upon request.
Following further evaluation on February 21, the SEC Committee found that Zipmex had not only disregarded the initial orders but also failed to make the required corrections. This led to the recommendation to the Minister of Finance to revoke Zipmex’s license and order the cessation of its digital asset business operations.
Zipmex has been instructed to return assets to customers within 15 days. If customers do not claim their assets within this period, Zipmex must secure them in a safeguarded system within 30 days and promptly report each step to the SEC.
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