Thailand’s Oldest Lender Delays Bitkub Exchange Acquisition Amid Tighter Crypto Rules

[webfact]

 

by Lubomir Tassev

 

The company that owns Thailand’s Siam Commercial Bank has postponed a deal to acquire a majority stake in Bitkub, the country’s largest cryptocurrency exchange. The decision comes amid tightening crypto regulations that limit growth in domestic crypto trading.

 

SCB Postpones Acquisition of Thai Crypto Exchange Bitkub

 

The parent company of Siam Commercial Bank, SCB X, has delayed a 17.85-billion-baht ($487 million) bid to acquire 51% of the largest crypto exchange in Thailand, Bitkub. The bank, which is the kingdom’s oldest lender, postponed the deal indefinitely as Thai regulations continue to inhibit growth of crypto trading, Nikkei Asia reported, quoting the financial group.

 

“We have made it clear in our statement to the Stock Exchange of Thailand (SET) that the deal is still undergoing due diligence,” an unnamed senior official at the SCB X has been quoted as stating. “We don’t know when the deal will be sealed,” he added. Earlier in July, the company notified the SET that the matter is still being discussed with regulatory bodies and that its completion period had been extended.

 

Full story: https://news.bitcoin.com/thailands-oldest-lender-delays-bitkub-exchange-acquisition-amid-tighter-crypto-rules/

 

-- © Copyright Bitcoin 2022-07-23

 

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[Thailand]

Not good news for Bitkub?

[phetphet]

Probably hoping for a better price now that crypto prices are down.

[wombat]

Following Musks pump and dump scenario when it comes to buying low?

[worgeordie]

They most likely got scared off with what happened

at ZIPMEX , could Bitkub have similar problems ,and

also does not do anything for confidence in Thai

Crypto firms..best back away.

regards worgeordie

[ukrules]

1 hour ago, worgeordie said:

They most likely got scared off with what happened

at ZIPMEX , could Bitkub have similar problems ,and

also does not do anything for confidence in Thai

Crypto firms..best back away.

regards worgeordie

It's due to changes in regulations which prohibit banks from investing in, owning and / or operating crypto exchanges.

 

Quote

Banks are prohibited from investing or trading in cryptocurrency, offering cryptocurrency exchanges and creating platforms for cryptocurrency trading, the central bank’s governor, Veerathai Santiprabhob, said in a circular.

Source : https://www.reuters.com/article/thailand-economy-cenbank-idUSL4N1Q234I

 

This is not new and they would have known about this long ago, the above article is dated 2018.

 

If anything the regulations have become stricter since then and maybe now they're enforcing them in some new way.

SCB want a piece of the pie, the markets will go nuts again - it's just a matter of time - this will cost SCB dearly in the longer run if they don't figure out a way around it.

 

[piewarmer]

On 7/23/2022 at 3:31 PM, worgeordie said:

They most likely got scared off with what happened

at ZIPMEX , could Bitkub have similar problems ,and

also does not do anything for confidence in Thai

Crypto firms..best back away.

regards worgeordie

Bitkub doesn't support leverage, they are fine

[how241]

4 hours ago, piewarmer said:

Bitkub doesn't support leverage, they are fine

The problem with 'leverage' is not how the customers use it But what the exchange itself does with your deposited assets and how they use them to earn returns.  Just my opinion.