KuCoin Thailand has been granted an extension to raise the required capital to comply with net capital rules, with the new deadline set for 30/03/2026.

This move by Thailand’s Securities and Exchange Commission (SEC) gives the digital asset platform a final opportunity to secure more than 350 million baht in funding or risk possible closure (23/02).

CEO Att Thongyai Asavanund said the capital increase is needed to restore compliance and enable the company to resume plans for applying for a digital asset broker licence. The SEC had previously set a February 12, 2026, deadline, which has now been extended.

Operations Suspended Pending Compliance

KuCoin Thailand’s operations remain temporarily suspended until its net capital position meets regulatory requirements and the SEC approves reopening. Customers, however, can continue withdrawing assets as usual.

Mr. Att said rising operating costs and insufficient registered capital have intensified the urgency of the capital injection. “I have been in this role for three years, and the capital issue has persisted for over a year,” he stated.

Complex Shareholding and Investor Challenges

The company faces difficulties due to its multi-layered 51/49 shareholding structure. Although legally recognized as a Thai entity, actual Thai control may be closer to 10%.

Foreign shareholders have been associated with separate money-laundering allegations involving individuals, including businessman Ben Smith. While unrelated to KuCoin Thailand’s operations, these cases have affected public confidence. Henry Chen, a former director and key intermediary among investor groups, has resigned.

Restructuring Efforts and Broker Licence Plans

Capital restructuring has been ongoing for over a year, involving negotiations with Thai investors to acquire shares from foreign shareholder groups before proceeding with the capital injection, Mr. Att explained.

Originally launched as ERX, the platform rebranded after investment from the KuCoin group and expanded into a full digital asset exchange. Plans to apply for a broker licence are on hold due to net capital deficiencies.

Mr. Att said that a successful capital increase could allow the company to leverage KuCoin’s global branding and trading technology. As a broker, KuCoin Thailand could connect investors to multiple liquidity sources, offer better pricing, and provide more user-friendly integration, similar to banking applications.

Future Options if Capital Raising Fails

If the capital injection fails, management has indicated that winding down operations would be the fallback option. Mr Att expressed cautious optimism: “I believe we can ultimately resolve it, possibly with Thai investors stepping in and securing the broker licence. But if we cannot raise capital, closure will be unavoidable.”

PHOTO: UNSPLASH

This article was created with AI assistance.

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