Thailand’s SEC (Securities & Exchange Commission) filed a police charge against crypto exchange Zipmex. The regulators resorted to the complaint after the trading platform failed to present information concerning transactions.
The Thailand SEC delivered a statement on the matter. Meanwhile, the regulatory boar further accused the exchange and its Thai arm’s CEO Mr. Eklarp Yimwilai of failure to comply with the Digital Assets Act. Moreover, the statement directed the crypto exchange to release data related to electronic wallets and digital assets transactions.
Also, the SEC indicated that Zipmex was to submit data connected to the withdrawal or transfer of digital tokens and client coins on e-wallets. Nevertheless, the organization didn’t send the information during the stipulated timeframe. Furthermore, the submitted data was incomplete, and the exchange had no logical cause for the delay.
Meanwhile, the exchange responded to the regulator through a press statement. The organization disclosed that it was compiling relevant documents belonging to Zipmex Pte Ltd and Zipmex itself. Moreover, the former isn’t under the Thai SEC’s regulatory jurisdiction.
Financial Mess & Regulatory Troubling Zipmex
The cryptocurrency platform filed for a worldwide moratorium proposal in a Singaporean Court. The organization wanted to ensure defense from creditors. Meanwhile, mid-August updates from Zipmex revealed about extending the moratorium until December 2, 2022, for its five entities.
Also, the organization should conduct a summit with its customer base and creditors within a month. The meeting will have the company explain its position on the case. Moreover, Bloomberg reports (some days ago) showed the exchange requested to meet with the Securities regulators and other associated authorities in Thailand. Zipmex wished to reveal a recovery strategy.
Also, potential investors should attend the conferences as the cryptocurrency exchange starts to introduce a fundraising plan. They expect the funding round to raise $40M for the company at its $400M current valuation. Indeed, the regulatory moves would mean an upside challenge for Zipmex to ensure its spot within the global crypto market.
What are your thoughts about the legal battle between the Thailand SEC and Zipmex? You can leave a reply in the section below.