Thailand’s largest crypto exchange Bitkub has come under regulatory inquiry from the country’s Securities and Exchange Commission over falsifying and creating artificial trading volume on its platform.
The Thai SEC ordered legal action against the crypto exchange and two individuals, alleging the crypto platform was involved in wash trading, a process where investors buy and sell the same assets at the same time to manipulate the market by inflating volumes.
The latest enforcement action against the leading Thai crypto exchange would be the second penalty for the crypto exchange within three months. Bitkub Capital Group Holdings chairman Sakolkorn Sakavee was fined $216,000 and banned from managerial roles in the firm for a year earlier in July this year.
According to an official statement by the SEC dated Sept. 27, the regulatory body has filed a lawsuit against the crypto exchange and the two individuals, seeking a civil fine and expenses of around $634,000 and a six-month trading prohibition for the duo.
Bitkub is among the top crypto exchanges in Thailand, boasting daily trading volumes of millions. However, the crypto exchange has also been at the receiving end of regulatory actions over the past few months.
