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- 2022 has proven to be a regulatory disaster for Thailand’s largest crypto exchange
- It has faced multiple enforcement actions and fines worth thousands of dollars
- The fine will be used to reimburse the SEC’s investigation expenses
The largest cryptocurrency exchange in Thailand, Bitkub, and four other individuals have been accused by the Securities and Exchange Commission (SEC) of being involved in wash trading.
There will be a fine of more than $600,000 imposed on the individuals.
The Thai Securities and Exchange Commission (SEC) claimed in a press release on Tuesday, September 27, 2022, that Mr. Anurak and Mr. Sakon Srakawee engaged in wash trading on the Bitkub platform.
Is Bitkub a Part of the Wash Trading Case?
In the crypto industry, wash trading is a practice in which a trader buys and sells digital assets to themselves, creating a false market and inflated trading volume.
Nevertheless, Bitkub and the two individuals reportedly refused to comply with the sanctions and settle the matter, according to the SEC, which noted that the agency had initially decided to impose civil sanctions on the three offenders.As a result, the regulator is requesting that the violators be tried in civil court.
The Thai regulatory watchdog wants Anurak and Sakon to be banned from serving as directors or in executive positions.Additionally, the offenders ought to be prohibited from trading cryptocurrencies.
In addition, Bitkub and the other people involved in the case were required to pay 24,161,292 baht (approx.$636,000).
The fine will be used to cover the costs of the SEC’s investigation. The regulator also made wash trading allegations against Satang Corporation, a local digital asset exchange, in a separate announcement.
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The SEC claims that LLC Fair Expo and Mikalai Zahorski, two offenders, engaged in wash trading on Satang.
The SEC said that LLC Expo Fair and Mikalai would be prosecuted in civil court because they failed to comply with civil sanctions, just like the first three cases.Twelve million baht, or $317,660, was imposed on both offenders.
The latest development comes shortly after the Thai Securities and Exchange Commission (SEC) slapped Bitkub’s chief technology officer (CTO) with a $235,000 fine for allegedly being involved in insider trading.
In an effort to safeguard traders, the local regulator recently invited public feedback on its decision to prohibit local cryptocurrency businesses from providing lending and staking services.Recently, a number of cryptocurrency lending businesses declared bankruptcy.
Nancy J. Allen is a crypto enthusiast, with a major in macroeconomics and minor in business statistics. She believes that cryptocurrencies inspire people to be their own banks, and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning. She frequently researches, and posts content on the top altcoins, their theoretical working principles and technical price predictions.
