A financial charge of 8.53 million baht (about $234,000) has been levied by the Thailand Stocks and Exchange Compensation (SEC) against Bitkub Blockchain Modern Technology Co (BBT), a part of Bitkub group, for the involvement of one of its executives in expert trading. According to the Bangkok Post, the securities market regulator announced its action Tuesday night.
Samret Wajanasathian, CTO of BBT, the sister corporation of Thailand’s leading cryptocurrency alternative, acquired 61,107.66 Bitkub cash (KUB), the crypto alternative’s native coin, between September 4 and November 2 final year.
He bought the money while Bitkub Capital Group Holding was in negotiations with Siam Industrial Bank (SCB) for a possible majority interest acquisition. SCB agreed to buy 51 percent of the crypto exchange.
ก.ล.ต. ใช้มาตรการลงโทษทางแพ่งกับผู้กระทำความผิด 1 ราย กรณีซื้อเหรียญ KUB โดยอาศัยข้อมูลภายในhttps://t.co/fiupGJKGb9
— ThaiSEC_News (@ThaiSEC_News) August 30, 2022
Wajanasathian started purchasing other tokens once takeover discussions began and halted after the public announcement, which pushed KUB’s value from 49.53 to 99.99 baht.
The SEC said that Wajanasathian, a Bitkub group executive, had insider knowledge of the purchase arrangement and used it to profit. Thai regulators fined the company and prohibited Wajanasathian from becoming an executive for a year. Thai crypto exchanges also face a market slump. According to a local newspaper, the number of Thai cryptocurrency accounts has decreased by 67% since 2022.
Bitkub Blockchain Expertise Co (BBT), part of the Bitkub group, was fined 8.53 million baht ($234,000) for insider trading by one of its executives. The SCB revealed Thursday that it had abandoned a $500-million proposal to become Bitkub’s majority shareholder owing to SEC recommendations. It’s unclear whether the bank knew of the regulator’s measures against Bitkub’s CTO.