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The Securities and Exchange Commission of Thailand (SEC) issued an order against local cryptocurrency exchanges to temporarily suspend its operations. Since the beginning of this year, Bitkub has been in the headlines due to multiple downtimes of its system.
According to a report from the “Bangkok Post”, starting from January 20, the financial regulatory agency has given five days of communication to resolve all technical issues. Since January 2, their desktop trading platform has mainly suffered three outages.
Local media reported that other incidents occurred on January 3 and 16. One of the reasons for the increase in the number of downtimes is the surge in crypto prices, especially Bitcoin (BTC). The Bangkok Post quoted a source as saying that, as a result, Bitkub was unable to process the transaction volume.
However, Bitkub has been idle for 16 hours since the SEC’s order was temporarily closed. reopen Its mobile application platform for trading purposes. As of press time, Bitkub’s desktop platform is still in a suspended state.
According to reports, after receiving “serious complaints” from users about continuous service interruptions, the SEC decided to request the closure of cryptocurrency exchanges.
The SEC board of directors met on January 18 to discuss and pass a resolution requiring Bitkub to submit a rectification plan and correct problems.
The Bangkok Post pointed out that Bitkub is considered the most popular cryptocurrency exchange in Thailand. In fact, based on the number of accounts and daily trading volume, they account for 97% of the market.
The company reported on January 7 that they have approximately 800,000 active trading accounts. However, an unnamed source told the media that there are currently only 300,000 to 400,000 accounts. By quoting someone familiar with the matter, the Bangkok Post explained:
The digital discrepancy shows that there are still many new accounts that have not yet been verified through the “know your customer” (KYC) process, and therefore cannot be traded on the platform.
What do you think of the SEC’s order on the Thai cryptocurrency exchange? Let us know in the comments section below.
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