The Thai Securities and Exchange Commission (SEC) has decided to shut down crypto exchanges OKX and Bybit until June 2025 due to a lack of licensing to operate in the country.
Goals of Shutting Down Non-compliant Crypto Exchanges
The Thai SEC and the Ministry of Digital Economy and Society (MDES) have taken actions against unregistered exchanges, leading to the shutdown of companies like OKX and Bybit. The closure is expected by June 28, 2025. The main goal of this initiative is to combat illegal activities in the digital asset market and money laundering.
Impact on Trading Pairs and Users in Thailand
This decision will impact all trading pairs, including BTC, ETH, and stablecoins, necessitating the withdrawal of funds by Thai users. The financial market in Thailand may experience temporary volatility. These actions align with global trends towards negative actions in countries like the USA and UK.
Global Trends Regarding Exchange Bans
Historically, similar bans have led to enforced withdrawals and lower trading volumes, echoing prior SEC warnings. The regulatory measures by the Thai SEC are part of a broader trend seen in many countries, potentially leading to increased regulatory scrutiny and further compliance measures by other exchanges.
In light of these changes, users are advised to withdraw their assets in a timely manner to avoid potential difficulties in the future. Regulation of the crypto market continues to strengthen, making it essential to stay informed about new rules and adapt to them.
