As a result of “market fluctuations” and issues with its business partners, digital asset exchange platform Zipmex Thailand suspended all withdrawals from its “Z Wallet”.
According to the Thailand Zipmex Facebook page, the company’s decision was influenced by “market fluctuations, incidents in the industry, and financial problems of its main partners.”
According to the company, the decision was made to maintain the platform’s stability. The company apologized for the incident.
As a result of Thailand’s Securities and Exchange Commission’s order, the company must clarify the issue as soon as possible, protect its clients, and comply with applicable laws.
Thailand Zipmex CEO and co-founder Akalarp Yimwilai said problems with ZipUp+ were to blame.
In Singapore, Zipmex Global and its trade partners Babel Finance and Celsius were experiencing liquidity problems, he said. As a result, ZipUp+ users in Thailand were left vulnerable.
According to Mr. Akalarp, the ZipUp+ product had been compromised.
According to him, only digital assets on the ZipUp+ platform were frozen, but he will later clarify the extent of the loss of liquidity.
He said Bitcoin, Ethereum, USDT, and USDC were all affected.
Zipmex Thailand to File Lawsuit
Akalarp explained that clients could deposit and withdraw baht and digital assets from their trade wallets when Zipmex reopened at 8pm (on Wednesday) but could not transfer assets between Zipmex’s Z Wallet and trade wallets.
Zipmex Thailand will file a class action lawsuit against Zipmex Global and its trade partners to recover digital assets for clients, Mr. Akalarp said. Clients were invited to join the lawsuit.
Aside from that, he promised to refund all Zipmex customers if his company could attract investors, including large corporations.
Moreover, Mr. Akalarp said his company had given the Securities and Exchange Commission a detailed explanation.