Bitkub, Thailand’s premier cryptocurrency exchange, aims for a home-country IPO in 2025.

Bitkub Capital Group Holdings, the umbrella organization overseeing Bitkub, Thailand’s leading cryptocurrency exchange, has disclosed its intentions to initiate an initial public offering (IPO) in 2025.

According to CEO Jirayut Srupsrisopa’s remarks in a recent Bloomberg interview, the company plans to list on the Stock Exchange of Thailand.

Bitkub is presently in the process of engaging financial advisors to aid in the IPO listing.

This development aligns with Bitkub’s prior communication in a shareholder correspondence from 2023, wherein the company articulated its aspirations for an IPO in Thailand, albeit without specifying a precise timeline.

Binance and Kasikornbank vie for dominance in the Thai market.

Over the past six months, the crypto trading scene in Thailand has seen a surge in competition, with contenders like Binance and Kasikornbank Pcl actively seeking to gain ground against Bitkub. According to the Securities and Exchange Commission, the number of active crypto trading accounts in Thailand soared to 238,000 in March, marking the highest figure since September 2022.

Bitkub made significant moves in July last year by selling a 9.2% stake in its crypto exchange arm, Bitkub Online Co., to Asphere Innovations Pcl for 600 million baht ($16.5 million). This deal, which valued Bitkub Online at about 6 billion baht at the time, was a strategic maneuver by the company. Bitkub’s CEO, Jirayut Srupsrisopa, anticipates that as trading volumes on Bitkub Online surge, the platform’s valuation will also climb, especially as Bitcoin’s recent rally pushes towards record highs. Notably, Bitkub Online constitutes a significant portion, approximately 80%, of Bitkub Capital’s earnings, underscoring its pivotal role in the company’s financial health.

Buoyed by Bitcoin’s upward trajectory and the broader optimism it generates, Bitkub is in expansion mode following a period of workforce reduction, where it downsized by around 6% between 2022 and 2023. Looking ahead, Jirayut has ambitious plans to bolster Bitkub’s team, aiming to increase the company’s headcount to 3,000 employees by 2025, up from the current 2,000. This expansionary strategy aligns with Bitkub’s vision to capitalize on the growing cryptocurrency market and solidify its position as a key player in Thailand’s crypto exchange landscape.

It’s noteworthy that Bitkub’s journey has not been without its challenges. In 2022, SCB X Pcl, a financial entity controlling Thailand’s largest bank by market value, had initially set sights on acquiring a 51% stake in Bitkub Online through a 17.85 billion baht plan. However, regulatory scrutiny compelled SCB X Pcl to abandon this acquisition, signaling the regulatory complexities inherent in the crypto space. Despite such hurdles, Bitkub remains resilient and focused on its trajectory towards an IPO in 2025, further underscoring its determination to navigate the evolving landscape of the crypto industry in Thailand.

The Securities and Exchange Commission of Thailand Relaxes Regulations on Cryptocurrency Investments

The Securities and Exchange Commission (SEC) of Thailand has recently undertaken significant updates to the criteria governing investment in digital tokens, thereby relaxing certain restrictions that were previously in place.

In a recent session, the SEC Committee deliberated and approved a set of principles aimed at enhancing the investment criteria and associated guidelines for digital asset business operations. The primary objective behind these measures is to establish robust investor protection mechanisms while also taking into account the inherent risks associated with digital assets.

One notable change involves the lifting of investment restrictions that were previously imposed on retail investors concerning certain categories of digital tokens. Specifically, restrictions on investments in digital tokens backed by real estate or generating income streams from real estate (referred to as real estate-backed ICOs) and those associated with infrastructure operations or revenue streams (infra-backed ICOs) have been removed. Previously, retail investors were constrained by a maximum investment limit of 300,000 baht per offering.

Moreover, in a separate development in early February, the Finance Ministry of Thailand announced a significant exemption pertaining to the value-added tax (VAT) applicable to digital asset trading. This move underscores Thailand’s ambition to position itself as a prominent hub for digital assets. By relaxing tax regulations, the ministry has effectively suspended the requirement to levy a 7% VAT on income derived from cryptocurrency and digital token trading activities.

These regulatory adjustments signal a broader shift in Thailand’s approach towards embracing and fostering the growth of the digital asset ecosystem. By streamlining investment criteria and offering tax incentives, the government aims to cultivate a conducive environment for innovation and investment in the burgeoning digital asset sector.


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