Thailand SEC Sues OKX for Unlicensed Crypto Trading
The Thai Securities and Exchange Commission (SEC) has filed a lawsuit against OKX, a major cryptocurrency exchange, for operating in Thailand without the necessary registration since 2021. This action alleges violations of the 2018 Emergency Decree on Digital Asset Businesses.
OKX Lawsuit: Increased Regulatory Scrutiny in Thailand
The SEC claims OKX actively promoted its services within Thailand through various social media platforms, including Telegram, X (formerly Twitter), and Line OpenChat, without obtaining the required licenses. The lawsuit highlights the growing regulatory challenges faced by global cryptocurrency exchanges.
The SEC filed a criminal complaint against OKX operator Aux Cayes FinTech Co. Ltd. and nine individuals associated with the firm. These individuals allegedly facilitated OKX's operations by promoting the exchange and are facing charges for assisting in unlicensed activities.
Individuals Charged by the Thai SEC
- Sarun Boonmesrisanga
- Nut Joongwong
- Kritsana Kritsananuwat
- Smithi Charoenmin
- Kittithat Benchacharoenpat
- Saurawit Sanguanphokai
- Akarawath Rujiruangchai
- Rachata Chuesaibua
- Varut Vanichayakosol
The SEC alleges these individuals' promotional efforts significantly contributed to OKX's user base and market presence in Thailand. The 0.1% trading fee charged by OKX is cited as further evidence of mimicking licensed platforms.
OKX's Future in Thailand Uncertain
The case has been referred to the Economic Crime Suppression Division (ECD) for investigation. Potential penalties for OKX and the individuals involved could be substantial, significantly impacting OKX’s future operations within Thailand.
The SEC warns the public about the risks associated with unlicensed digital asset businesses, emphasizing the lack of investor protection and increased vulnerability to fraud.
Note: This situation contrasts with recent developments in the US, where the SEC under the previous administration has dismissed several long-held crypto lawsuits. This highlights the varying approaches to crypto regulation globally.
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