Thai SEC Asks Zipmex to Clarify Withdrawal Freeze

The Thai Securities and Exchange Commission has asked cryptocurrency exchange Zipmex to explain its decision to freeze withdrawals, according to a release on the regulator's website on Thursday.

• The Thai SEC sent a letter to Zipmex seeking clarity on the amount of customer assets under management and details of how deposited funds were used in relation to ZipUp. a savings account program that offered up to 10% interest on deposits.
• On Wednesday, Zipmex froze withdrawals, citing "volatile market conditions" and financial difficulties of "key business partners."
• The regulator also asked whether Zipmex has used lending platforms Celsius Network and Babel Finance.
• Earlier on Thursday, Zipmex announced on Twitter that it would be restarting withdrawals for its Trade Wallets, although ZipUp accounts will remain disabled until further notice.
• Several crypto platforms have also frozen withdrawals since the market downturn in June, including Celsius, Babel Finance and Voyager Digital. Celsius and Voyager have since filed for bankruptcy.
• Zipmex didn't immediately respond to a request for comment.