On July 24, the Ministry of Finance in Thailand granted Huobi a digital asset trading license. This license will allow the Thailand based company to be able to provide exchange services for digital tokens and assets as well as fiat currencies.
In a press release issued by the company, Huobi announced that they had become the fifth company within Thailand to receive a license to operate a digital asset exchange. This new service is expected to be operational during the third quarter of 2019.
Since Thailand formalized its regulations regarding the domestic crypto asset market, it has brought greater oversight by the country’s Securities and Exchange Commission (SEC). This regulation came about at the prodding of the Finance Ministry in response to a growing number of companies seeking initial coin offerings.
The head of Huobi Thailand explained that the new platform will provide a central location for those looking for global digital asset exchange:
Huobi Thailand will provide Thai users with secure and reliable digital asset trading services through Huobi Cloud’s verified technical capabilities. In the field of digital asset trading, Huobi is one of the largest exchanges in the world by trading volume and has accumulated six years of experience in safe operation. After entering Thailand, Huobi will also actively cooperate with the government and local enterprises to explore the application scenarios of blockchain.
The Singapore-based Huobi Group will use its Huobi Cloud platform to help in the creation of the digital asset exchange using the already existing platform that Huobi offers.
This new project will help in the Group’s overall plan for expansion, allowing them to provide a trading venue that will offer order matching, e-wallets, asset management, and clearing systems. According to the company, Huobi Cloud is seeking to provide 120 exchanges across the globe. This will include such places as the U.K., Singapore, Canada, Indonesia, Russia, and Brazil.
In June, Huobi Group had provided a vision that included expanding trading operations, which included crypto to fiat onramps, to countries like Turkey. A recent report from Statistica’s Global Consumer Survey for 2019 found that Turkey had the highest per capita rate of ownership of cryptocurrency of any of the nations that were surveyed.
Huobi joins four other crypto-related companies that have received a license at the recommendation of the SEC Board. Two other companies have sought a license but were rejected in accordance with the country’s new guidelines.
There has been a growing interest among digital asset exchange services to apply for a license in Thailand following an announcement by the Bank of Thailand that they had begun to develop their own virtual currency, known as Inthanon. Eight commercial banks in the country have announced their support for the project.
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