- Thailand’s SEC filed a criminal complaint against OKX for operating without a license.
- Nine individuals were accused of promoting OKX’s services, violating digital asset regulations.
- OKX and its promoters will face legal penalties under Thailand’s Digital Asset Business Decree.
Thailand’s Securities and Exchange Commission (SEC) has taken legal action against digital asset exchange OKX and its operator, Aux Cayes FinTech Co. Ltd., for allegedly providing cryptocurrency trading services without a license. The complaint, filed with the Economic Crime Suppression Division (ECD), also names nine individuals accused of assisting in the exchange’s unauthorized operations.
The SEC says OKX has been providing services to Thai users via its website and social media channels since October 2021, with a transaction fee of 0.1%. According to the regulator, these activities fall under Thailand’s Emergency Decree on Digital Asset Businesses (2018) under which all digital asset exchanges must be licensed to operate in the country.
Unlicensed Operations and Social Media Promotion
Investigations revealed that OKX has extensively promoted its trading services on social media platforms, through Telegram, X (previously Twitter), and Line OpenChat. The nine named in the complaint allegedly helped market the exchange’s services to local investors, and helped boost the exchange’s visibility to become an attractive destination for potential users.
The individuals named in the complaint are Sarun Boonmesrisanga, Kritsana Kritsananuwat, Smithi Charoenmin, Kittithat Benchacharoenpat, Nut Joongwong, Saurawit Sanguanphokai, Akarawath Rujiruangchai, Varut Vanichayakosol, and Rachata Chuesaibua. SEC alleges that their promotional activities helped the exchange expand the size of its customer base and increase its presence in Thailand. According to the regulator, this refers to helping an illegal digital assets exchange, under Section 66 of the Emergency Decree and Section 86 of the Criminal Code.
The SEC argues that their promotional activities helped OKX grow its unlicensed operations in Thailand. Facilitating or assisting in running an unlicensed exchange is a punishable offence under Section 26 of Emergency Decree. Under Section 66 of the decree, the complaint seeks penalties as outlined in the decree for anyone involved in an unauthorized digital asset business.
Legal Consequences and Regulatory Warnings
The legal proceedings initiated by the SEC mark the beginning of the criminal process, with prosecutors now tasked with determining the course of action. OKX and the persons concerned, if found guilty, can be fined between 200,000 and 500,000 baht ($5,894 to $14,737) and other additional daily fines.
In response to the situation SEC urged investors to check the licensing status of a digital asset service provider before using its platform. It has also reiterated the risks involved with unlicensed exchanges, emphasizing that fraud and losses on financial investments without protective mechanisms for the investors exist.
Notably, this is not Thailand’s first foray into clamping down on unauthorized exchanges. In 2024, authorities proposed blocking all unlicensed crypto platforms and submitted the names of all to the Ministry of Digital Economy and Society. In 2023, Bybit was also the subject of a similar complaint. In Thailand, there are currently 32 licensed crypto businesses.
As regulatory oversight intensifies, the outcome of the case against OKX and its promoters now depends on the legal proceedings initiated by the Economic Crime Suppression Division.
