Zipmex under Scrutiny: Thailand Orders Suspension over Financial Irregularities

<p>The Securities and Exchange Commission (SEC) has
directed Zipmex Company Limited to suspend its digital asset trading center and
broker services temporarily. The SEC's decision stems from persistent financial
and operational deficiencies that Zipmex has been unable to rectify despite
prior orders.</p><p>According to the SEC, the 15-day window for
corrective measures, initiated on January 12, 2024, has lapsed, leading to the
decisive action taken during the SEC Committee's meeting on February 1, 2024. </p><p>The committee expressed concerns over Zipmex's
failure to address issues related to net liquid capital maintenance, business
structure, and potential offenses involving customer property. Under the
suspension directive effective February 2, 2024, Zipmex must adhere to specific
corrective actions.</p><p>SEC's Warning to Digital Asset Operators</p><p>Anek Yuyuen, the Deputy Secretary General and SEC
Spokesperson, mentioned: "According to the process specified by law, if
the digital asset business operator is unable to comply with the SEC's orders
under Section 35, paragraph two, within the specified period, the SEC may
propose that the Minister of Finance consider revoking the order. Permissible
according to Section 35, paragraph three of the Digital Assets Decree."</p><p>Zipmex is required to correct its financial position
to maintain funds following regulatory guidelines. The company must modify its
management structure and personnel, ensuring efficiency and compliance with
legal requirements.</p><p>Additionally, Zipmex must establish a system
preventing customer-deposited assets from being utilized or profited.</p><p>Zipmex Faces Regulatory Challenges</p><p>Zipmex must submit the results of these corrections
within 15 days from the suspension date, after which the SEC will assess and
potentially grant permission for the resumption of normal business operations.</p><p>During the suspension, Zipmex must prioritize
customer welfare by allowing asset withdrawals at any time. Additionally, the
company is tasked with contacting customers for fund and digital asset returns
and facilitating money transfers according to customer preferences.</p><p>This regulatory intervention underscores the SEC's
commitment to ensuring compliance within the digital asset business sphere.
Customers with concerns or queries can contact Zipmex's customer service center
or the SEC's "Complaint and Whistleblower Center."</p>

This article was written by Jared Kirui at www.financemagnates.com.