The Securities and Exchange Commission of Thailand has asked the country’s Ministry of Finance to revoke the license from the Huobi crypto exchange for non-compliance with regulatory requirements.
In July 2019, Huobi became the fifth exchange to receive a digital asset trading license in Thailand. According to
a statement Thai SEC, the regulator investigated Huobi’s activities from February 2021 to March 2021. The Commission found flaws in the structure and trading system of the site, due to which transactions on Huobi do not comply with Thai law.
In April, the regulator demanded that Huobi suspend services to users in the country and make necessary changes to its system in accordance with the Royal Ordinance on the Regulation of Digital Asset Transactions in Thailand. Later, at Huobi’s request, the regulator extended the deadline for the platform to comply with regulatory requirements until August 31st.
In June, Huobi has already suspended the provision of services to Thai traders and asked them to withdraw assets from the site. According to local media reports, the exchange planned to conduct operations under a new name – DS Exchange. The SEC said in a statement that the exchange’s Thai subsidiary is now called DSDAQ (Thailand) Co. In early September, the Thai SEC again demanded that Huobi stop providing services to Thai users. The agency claims that the marketplace was never able to fix the flaws in the system, revealed more than five months ago, despite the extension of the deadline. The commission rejected the exchange’s request for a job under a different name.
“Huobi provides digital asset trading services in accordance with local legal standards and statutory provisions. Due to the changes to our products and to better serve local users, Huobi Thailand has decided to temporarily stop serving traders, ”said Huobi’s Thai division.
In May, it became known that regulators intend to tighten requirements for cryptocurrency platforms, according to which their users are required to undergo KYC procedures. In June, TSEC introduced new rules for cryptocurrency exchanges, banning the trading of meme tokens, NFT and internal exchange tokens on them.