Thailand’s Securities and Exchange Commission (SEC) has accused Akarlap Yimwilai, the former CEO of Zipmex Thailand, of corruption and deception. The SEC’s investigation found that customer assets held in Zipmex Thailand’s Z Wallet were transferred to overseas digital wallets without informing customers about changes in the platform’s terms and conditions. This led to false statements being presented by Zipmex Thailand, according to the SEC. Yimwilai served as the CEO of Zipmex Thailand from August 2018 to November 2023. Zipmex Thailand is a subsidiary of Singapore-based cryptocurrency exchange Zipmex. The SEC has ordered Zipmex Thailand to suspend its digital asset trading and brokerage services. The reports submitted by Zipmex Thailand were also found to be inconsistent with the SEC’s investigation. The SEC has filed a complaint against Yimwilai with the Office of the Provincial Crime Suppression Division, urging further legal action.
Zipmex, which has been under regulatory scrutiny since December 2022, has already discontinued trading and deposit services. The exchange was investigated for an acquisition by V Ventures and allegations of operating in Thailand without regulatory approval. In November 2023, Zipmex suspended trading to comply with regulations after filing for debt relief in 2022. Major creditors deferred proposals from Zipmex, seeking a comprehensive examination of the exchange’s assets and liabilities. Despite these controversies, Thailand has become a top destination for offshore digital asset investors. The country’s Finance Ministry recently announced the exemption of value-added tax (VAT) on digital asset trading, providing a long-term incentive for investors and traders in the digital asset space. The SEC has also updated criteria for investing in digital tokens, easing restrictions.
Hot Take: Former CEO of Zipmex Thailand Charged with Corruption and Deception
Thailand’s SEC has charged Akarlap Yimwilai, the former CEO of Zipmex Thailand, with corruption and deception. The SEC’s investigation revealed that customer assets were transferred without prior disclosure, leading to false statements. This case highlights the importance of transparency and adherence to regulations in the cryptocurrency industry. It also serves as a reminder to investors to conduct due diligence when choosing a cryptocurrency exchange. The regulatory scrutiny faced by Zipmex and the VAT exemption for digital asset trading in Thailand further emphasize the evolving landscape of cryptocurrency regulations. As the industry continues to grow, it is crucial for regulators and market participants to work together to ensure integrity and protect investors’ interests.
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