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Zipmex’s digital asset exchange and broker licenses revoked

Monday 10 June 2024 | No. 115 / 2024

Bangkok, 10 June 2024 – The Minister of Finance, upon the SEC Board’s recommendation, has revoked Zipmex’s digital asset business licenses, effective on 28 May 2024. The decision was made because the company’s financial condition may cause damage to the public and its management structure and personnel are inappropriate and insufficient for efficient and responsible business operations in accordance with the rules, conditions and procedures, as ordered by the SEC Board.

Facts appeared to the SEC that Zipmex, a licensed digital asset exchange and broker for cryptocurrencies and digital tokens under the Emergency Decree on Digital Asset Businesses B.E. 2561 (2018) (“the Emergency Decree”), has a financial condition that may cause damage to clients and a management structure and personnel that are deemed inappropriate and insufficient for efficient and responsible business operations in accordance with relevant rules, conditions and procedures. Therefore, pursuant to Paragraph 1 of Section 35 of the Emergency Decree, the SEC Board at a meeting on 11 January 2024 resolved to order Zipmex to rectify its operations. However, Zipmex was unable to make the required rectifications within the specified timeframe. Consequently, at the meeting on 1 February 2024, the SEC Board, pursuant to Paragraph 2 of Section 35 of the Emergency Decree, resolved to order Zipmex to suspend its business operations and complete the rectifications within the set timeframe. Additionally, the SEC Board ordered Zipmex to return assets to its clients as per their requests.

Later, at the meeting on 21 February 2024, the SEC Board considered that Zipmex had failed to comply with the rectification requirements. Consequently, the SEC Board resolved to propose the revocation of Zipmex’s digital asset exchange and broker licenses for the Minister of Finance’s consideration. The SEC Board also ordered Zipmex to suspend its business operations and return assets to its client or proceed according to their requests within 15 days. If any clients do not notify their requests or claim their assets within the deadline, Zipmex must deposit the unclaimed assets in a trusted and secure system within 30 days from the end date of the 15-day deadline. Additionally, Zipmex must report its proceedings, step by step, to the SEC without delay.

In this regard, the Minister of Finance, upon the SEC Board’s recommendation, has determined that Zipmex is still in contravention of the SEC Board’s orders issued under Paragraph 1 and Paragraph 2 of Section 35 of the Emergency Decree. Therefore, pursuant to Paragraph 3 of Section 35 of the Emergency Decree, the Minister of Finance has revoked Zipmex’s digital asset exchange and broker licenses, effective on 28 May 2024. In addition, Zipmex is required to return assets to its clients or proceed according to their clients’ requests. If any clients do not notify their requests or claim their assets, Zipmex must deposit the unclaimed assets in a trusted and secure system and must report its proceedings, step by step, to the SEC without delay.

After the effective revocation of its licenses, Zipmex retains its status as a limited company with corresponding rights, responsibilities and liabilities, including the possibility of being subject to legal action. Zipmex clients may contact the company to retrieve own assets through Zipmex’s official communication channels. Further inquiries may be sent to the SEC Complaint Center via Hotline 1207 ext. 8, or email: info@sec.or.th, or Facebook Page: “SEC Office”, or SEC Live Chat at www.sec.or.th.

--------------------------------------

Remarks:
Zipmex’s official communication channels:
https://updates.zipmex.co.th/?page_id=289310&lang=th
Email: support.th@zipmex.com
Facebook Page: Zipmex Thailand
Line Official: @zipmex

Relevant SEC news releases:
          - SEC News No. 227/2023: “SEC orders Zipmex to rectify its net capital position andact in the best interest of clients,” released on 25 November 2023
          - SEC News No. 13/2024: “SECinstructs Zipmex to rectify operations in compliance with the specified ruleswithin 15 days,” released on 13 January 2024
          - SEC News No. 30/2024: “SEC orders temporary suspension of Zipmex services as digital assetexchange and digital asset broker,” released on 2 February 2024
- SEC News No. 33/2024: “SEC files a criminal complaint against former director andCEO of Zipmex for making false statements or concealing facts that should havebeen disclosed to the public,” released on 8 February 2024
- SEC News No. 44/2024: “SECBoard resolves to propose the revocation of Zipmex digital asset businesslicense for Finance Minister’s consideration,” released on 23 February 2024

Documents

FAQ: Revocation of Zipmex’s Digital Asset Exchange and Broker Licenses

NEWS

Securities and Exchange Commission

Corporate Communication and Investor Service Department

Tel. (66)2033-9502-5 E-mail: press@sec.or.th

No. 115 / 2024	Monday 10 June 2024
Zipmex’s digital asset exchange and broker licenses revoked
Bangkok, 10 June 2024 – The Minister of Finance, upon the SEC Board’s recommendation, has revoked Zipmex’s digital asset business licenses, effective on 28 May 2024. The decision was made because the company’s financial condition may cause damage to the public and its management structure and personnel are inappropriate and insufficient for efficient and responsible business operations in accordance with the rules, conditions and procedures, as ordered by the SEC Board.
Facts appeared to the SEC that Zipmex, a licensed digital asset exchange and broker for cryptocurrencies and digital tokens under the Emergency Decree on Digital Asset Businesses B.E. 2561 (2018) (“the Emergency Decree”), has a financial condition that may cause damage to clients and a management structure and personnel that are deemed inappropriate and insufficient for efficient and responsible business operations in accordance with relevant rules, conditions and procedures. Therefore, pursuant to Paragraph 1 of Section 35 of the Emergency Decree, the SEC Board at a meeting on 11 January 2024 resolved to order Zipmex to rectify its operations. However, Zipmex was unable to make the required rectifications within the specified timeframe. Consequently, at the meeting on 1 February 2024, the SEC Board, pursuant to Paragraph 2 of Section 35 of the Emergency Decree, resolved to order Zipmex to suspend its business operations and complete the rectifications within the set timeframe. Additionally, the SEC Board ordered Zipmex to return assets to its clients as per their requests. Later, at the meeting on 21 February 2024, the SEC Board considered that Zipmex had failed to comply with the rectification requirements. Consequently, the SEC Board resolved to propose the revocation of Zipmex’s digital asset exchange and broker licenses for the Minister of Finance’s consideration. The SEC Board also ordered Zipmex to suspend its business operations and return assets to its client or proceed according to their requests within 15 days. If any clients do not notify their requests or claim their assets within the deadline, Zipmex must deposit the unclaimed assets in a trusted and secure system within 30 days from the end date of the 15-day deadline. Additionally, Zipmex must report its proceedings, step by step, to the SEC without delay. In this regard, the Minister of Finance, upon the SEC Board’s recommendation, has determined that Zipmex is still in contravention of the SEC Board’s orders issued under Paragraph 1 and Paragraph 2 of Section 35 of the Emergency Decree. Therefore, pursuant to Paragraph 3 of Section 35 of the Emergency Decree, the Minister of Finance has revoked Zipmex’s digital asset exchange and broker licenses, effective on 28 May 2024. In addition, Zipmex is required to return assets to its clients or proceed according to their clients’ requests. If any clients do not notify their requests or claim their assets, Zipmex must deposit the unclaimed assets in a trusted and secure system and must report its proceedings, step by step, to the SEC without delay. After the effective revocation of its licenses, Zipmex retains its status as a limited company with corresponding rights, responsibilities and liabilities, including the possibility of being subject to legal action. Zipmex clients may contact the company to retrieve own assets through Zipmex’s official communication channels. Further inquiries may be sent to the SEC Complaint Center via Hotline 1207 ext. 8, or email: info@sec.or.th, or Facebook Page: “SEC Office”, or SEC Live Chat at www.sec.or.th. -------------------------------------- Remarks: Zipmex’s official communication channels: https://updates.zipmex.co.th/?page_id=289310&lang=th Email: support.th@zipmex.com Facebook Page: Zipmex Thailand Line Official: @zipmex Relevant SEC news releases: - SEC News No. 227/2023: “SEC orders Zipmex to rectify its net capital position andact in the best interest of clients,” released on 25 November 2023 - SEC News No. 13/2024: “SECinstructs Zipmex to rectify operations in compliance with the specified ruleswithin 15 days,” released on 13 January 2024 - SEC News No. 30/2024: “SEC orders temporary suspension of Zipmex services as digital assetexchange and digital asset broker,” released on 2 February 2024 - SEC News No. 33/2024: “SEC files a criminal complaint against former director andCEO of Zipmex for making false statements or concealing facts that should havebeen disclosed to the public,” released on 8 February 2024 - SEC News No. 44/2024: “SECBoard resolves to propose the revocation of Zipmex digital asset businesslicense for Finance Minister’s consideration,” released on 23 February 2024

Documents

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