The Thai Securities and Exchange Commission (SEC) plans to withdraw Huobi’s operating license

• Local authorities in Thailand have suspended Huobi’s operations after it allegedly failed to follow local regulations
• Huobi was granted an extension until the end of August 2021 based on the exchange’s request after it was revealed that it had failed to satisfy regulatory standards established by the authorities
• The Securities and Exchange Commission (SEC) published a regulation prohibiting crypto exchanges from hosting meme-based tokens, fan-based tokens, non-fungible tokens, and exchange-issued tokens in June 2021

Local authorities in Thailand have suspended Huobi’s operations after it allegedly failed to follow local regulations. Thailand’s Securities and Exchange Commission has temporarily stopped the services of crypto exchange Houbi’s local office and suggested that the Ministry of Finance revoke its operating license. Huobi has been given three months to restore all assets to its customers following the ban. Huobi, which is known in Thailand as DSDack, was ordered to suspend operations after failing to comply with local rules governing its operations and management structure. Huobi was initially notified of a breach of compliance in February 2021, according to the Thai Securities and Exchange Commission. 

Huobi was granted an extension until the end of August 2021 based on the exchange’s request after it was revealed that it had failed to satisfy regulatory standards established by the authorities. Despite a five-month and 12-day extension, the SEC declared Huobi’s trading systems, customer asset retention procedures, and information technology systems to be “irreparable,” giving the exchange three months from Thursday, September 2 to restore all funds to its Thai customers and clients. Huobi has also been ordered by the SEC to give a security deposit to clients if it fails to restore all assets within the time frame. 

While Thailand has permitted citizens to trade in cryptocurrency, the Thai Securities and Exchange Commission (SEC) has issued frequent instructions to crypto exchanges in order to reduce the perceived dangers connected with cryptocurrency trading. The Securities and Exchange Commission (SEC) published a regulation prohibiting crypto exchanges from hosting meme-based tokens, fan-based tokens, non-fungible tokens, and exchange-issued tokens in June 2021. The SEC also demanded that all currencies on the exchange follow the capabilities outlined in their white papers. The Thai Securities and Exchange Commission (SEC) has also suggested a new framework that forbids crypto businesses from utilizing investors’ funds for any commercial or personal gain.

Ritika Sharma

With a background in journalism, Ritika Sharma has worked with many reputed media firms focusing on general news such as politics and crime. She joined The Coin Republic as a reporter for crypto, and found a great passion for cryptocurrency, Web3, NFTs and other digital assets. She spends a lot of time researching and delving deeper into these concepts around the clock, and is a strong advocate for women in STEM.