Crypto Exchange Zipmex Meets Thai Regulators To Discuss Next Steps Of Recovery

Crypto exchange Zipmex has planned to meet with the Thailand Securities Exchange Commission along with other regulators to discuss the recovery plan. Zipmex had recently submitted a letter which will request to schedule meetings with the security regulators.

This meeting shall also include the crypto firm’s potential investors. The exchange had suspended the withdrawals in the month of July due to a financial crisis. A meeting that involves Thailand’s SEC and investors of Zipmex is important before a funding deal is finalized.

Zipmex stated,

We have requested meetings with Thailand’s Securities Exchange Commission and regulators in the country where we operate to introduce our investors to regulators and present our recovery plan to government agencies.

The crypto exchange has signed total of three memorandums of understanding (MOUs) in the past month. At the moment the firm is in the “Advanced States” of discussion with two of its potential investors.

Crypto Exchange Has Not Disclosed Details Of The Investors

Zipmex at the moment has not revealed any information about the potential investors. It has mentioned that it is now in the “Advanced Stages” of the discussion.

The funding round was said to have happened in the month of June this year. It meant that the current capital inflow in the company is infact not related to its present financial troubles.

Zipmex also stated that,

The investors we have been in discussion with fully understand our potential and also share our vision and mission of developing the digital economy in Thailand and Southeast Asia.

In the recent times, the crypto exchange also re-enables its Z wallet. This wallet allows the users to recieve bonuses and earnings.

It has also been reported that the firm is in touch with representatives from KordaMentha.

These representatives shall be working as financial advisors to Zipmex and also help with proposed scheme managers in order to address a financial crisis by reforming strategies.

The strategies should be able to restructure the current financial situation and also “maximize the returns for all stakeholders including our customers and vendor creditors.”

Funding Round Could Be Worth $40 Million

There has been no word word regarding the investors of Zipmex. The funding round is reported to be worth $40 million and at a valuation of $400 million. The company is said to release information regarding the same next month.

Additionally, Coinbase has already made an undisclosed strategic investment in Zipmex durting Q1. Zipmex has secured a moratorium extension till December 2 by Singapore High Court. The crypto exchange has bought time till it can resolve its liquidity issues.

This discussion with the Thai SEC is coming after a month since the crypto exchange launched a hotline for invetsors. This hotline will be helping investors who have been affected by the suspension of withdrawals and report their complaints on that particular issue.

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