Thai SEC fines Bitkub Blockchain Tech 8.5 million baht for insider trading of DailyCoin

Bitkub, a Thailand-based cryptocurrency exchange, has been fined 8.53 million baht for insider trading.

According to a recent Bangkok Post report, Thailand’s Securities and Exchange Commission issued a fine against Samret Wajanasathian, chief technology officer of Bitkub Blockchain Technology Co (BBT), who has been accused of gradually buying 61,107.66 Bitkub coins (KUB) worth 1.99 million baht between September 4 and November 2 last year.

Apart from the fine, the SEC also banned Wajanasathian from being a director of any digital token seller or digital asset operator for 12 months.

According to local media reports, the purchases by Wajanasathian happened last year in August, when Siam Commercial Bank (OTC:) (SCB) and Bitkub Capital Group Holding (BCGH) discussed SCB’s planned purchase of a 51% stake for 17.85 billion baht in Bitkub Online Co (BO).

Wajanasathian’s KUB coin buying behavior before the acquisition plan was publicly announced at 18.53 on 2 November 2021 – when the price of KUB peaked at 99.99 Baht – which was noticeably different from what it had been previously, i.e. 49.53 Baht, the price before the announcement of the acquisition plan.

The Thai government’s increasing scrutiny of crypto-related investments

According to a recent report from Bloomberg, Sarath Ratanavadi, CEO of Gulf Energy Development Pcl and Thailand’s second richest man, is actively looking at digital assets despite increased scrutiny of the crypto industry by the Thai government and a decline in local trading accounts.

Data from the country’s Securities and Exchange Commission cited by Bloomberg showed the number of active trading accounts fell to 260,000 in July from 692,000 in January, coinciding with a fall in crypto prices.

Also, (BTC) is now 69% lower than the record, with (ETH) and other major cryptocurrencies such as (SOL) recording a whopping 86% decline in Thailand.

However, Ratanavadi told the media that his company would increase investment in blockchain ecosystems to diversify revenue sources, even as Thai regulators tighten oversight of fintech and related platforms amid a plunge in the value of many tokens.

According to Ratanavadi, blockchain technology platforms and cryptocurrencies will be key drivers of the company’s strongest returns as the overall market remains healthy and has high potential for growth.

Ratanavadi is looking to open a crypto exchange in Thailand in partnership with crypto exchange Binance and is actively seeking licenses.

On the other side

• The Central Bank of Thailand (BOT) recently said it wants to expand the scope of the Central Bank Digital Currency. As the Thai SEC tightens its grip, the country’s central bank seems poised to dive deeper into the crypto world.

Why you should care

Thailand’s retail crypto market has seen a slowdown as the Thai SEC’s crypto security measures tighten.

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