Siam Commercial Bank Scraps $500M Purchase of Stake in Thailand’s Largest Crypto Exchange

Thailand’s oldest bank said Bitkub Online needs to resolve various issues at the request of Thailand’s Securities and Exchange Commission.

AccessTimeIconAug 25, 2022 at 9:36 a.m. UTC
Updated Aug 25, 2022 at 2:23 p.m. UTC

Camomile Shumba is a CoinDesk regulatory reporter based in the UK. She previously worked as an intern for Business Insider and Bloomberg News. She does not currently hold value in any digital currencies or projects.

Siam Commercial Bank (SCB), Thailand’s oldest lender, abandoned a plan to buy a majority of Bitkub Online, the country’s largest crypto exchange, citing unresolved regulatory issues in a statement on Thursday.

SCB had agreed to acquire 51% of the exchange for 17.85 billion baht (US$500 million) in November. The transaction was expected to be completed by the first quarter of 2022.

“Bitkub is currently in the process of resolving various issues as per the recommendations and orders of the Securities and Exchange Commission, Thailand, which are uncertain in terms of timeframe in resolving those issues. As a result, the Buyer and the Seller have agreed to terminate the Transaction,” Siam Commercial said.

In May the exchange was hit with fines from the Thai SEC for not complying with digital asset listing rules when adding KUB coin, the platform's native token. The SEC also told Bitkub to improve its platform after it experienced trading outages in January last year.

A due diligence investigation of Bitkub didn’t highlight any major problems, Siam Commercial said. The bank also reiterated its intention to enter into the blockchain and digital asset arena.

DISCLOSURE

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.

CoinDesk - Unknown

Camomile Shumba is a CoinDesk regulatory reporter based in the UK. She previously worked as an intern for Business Insider and Bloomberg News. She does not currently hold value in any digital currencies or projects.

CoinDesk - Unknown

Camomile Shumba is a CoinDesk regulatory reporter based in the UK. She previously worked as an intern for Business Insider and Bloomberg News. She does not currently hold value in any digital currencies or projects.