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Zipmex cryptocurrency exchange firm withdrew all activities in Thailand until 31st January 2024 to comply with the latest country’s virtual asset service providers regulations.
The Zipmex crypto service providers announced a pause in all their activities in Thailand due to upholding regulations set by the Thai Securities and Exchange Commission (SEC). The decision to stop trading and withdrawing virtual assets was made to ensure the registration of the crypto platform according to the obligations designated by the SEC. However, customers can use the platforms for exchange purposes but for that, they have to contact the firm directly. The suspensions came as Zipmex is facing various challenges in operating in Thailand, including the ongoing investigation by the SEC, delays in customer payments, and financial issues.
Zipmex, in the officially issued statement on closing all their activities in Thailand, stated, “to ensure that the business operations of Zipmex Company Limited are appropriate and compliant with the criteria set by the SEC Thailand, the company is required to temporarily suspend the trading and depositing of all types of assets.” The SEC filed a police report against Zipmex in September 2022, claiming that the exchange and its co-founder, Akalarp Yimwilai, had violated local laws and had operated outside of SEC-approved guidelines for the digital asset industry. Nonetheless, the SEC allegedly issued Zipmex a one-day deadline on January 11th to confirm or refute if it acted as a digital asset fund manager without complying with the required AML regulations.
Despite the suspensions and these investigations, customers can withdraw their digital assets from the website and mobile applications of Zipmex. Although the virtual currency is labelled as “Trade Only,” can be withdrawn after contacting customer support. The statement added, “after January 31st, 2024, when the company suspends withdrawals through the website and mobile application, customers are required to contact customer support for withdrawals.” Furthermore, the SEC emphasised the investigation against Zipmex is ongoing during these all by stressing the virtual asset service platforms had neglected to give information on digital wallets and cryptocurrency transactions in accordance with the nation’s Digital Assets Act.