KuCoin Launches Thailand Platform Amid US Legal Challenges

KuCoin, a prominent cryptocurrency exchange, has announced its expansion into Thailand, marking a significant move into the Southeast Asian market. The exchange has rebranded ERX Company Ltd, which was previously operating under Thailand’s Securities and Exchange Commission (SEC), to launch a new trading platform in the country. The rebranding became official on April 22, and the platform is now live, operating under the name KuCoin Thailand.

All existing users of ERX have been transitioned to the new KuCoin Thailand system. The company has also introduced the KuCoin TH app, available for both Android and iOS users. According to ERX CEO Att Tongyai Asavanund, the goal is to provide crypto services that are better tailored to local users. Thailand is known for its active crypto trading community, despite a nationwide ban on using crypto for payments. The country's regulatory environment, however, remains stringent, with recent crackdowns on peer-to-peer crypto services operated from abroad aimed at reducing scams and combating money laundering.

KuCoin Thailand will face competition from several well-established players in the market. According to the Thai SEC, there are now nine companies licensed to operate crypto exchanges in the country, including Bitkub Online, Gulf Binance, Upbit Exchange, and WAAN Exchange. Bitkub is the top exchange in Thailand by trading volume, processing about $70 million in trades per day. While KuCoin’s global platform reports $3.8 billion in daily volume, making it one of the larger exchanges worldwide, competing locally will require more than just size.

KuCoin's expansion into Thailand comes at a time when the exchange is also dealing with legal issues in the United States. In March 2024, the US Commodity Futures Trading Commission (CFTC) filed a lawsuit against the company, alleging violations of the Commodity Exchange Act. KuCoin is currently working toward a settlement with US regulators, highlighting the multifaceted challenges that crypto exchanges often face. Despite these legal hurdles, KuCoin's entry into Thailand underscores its strategic focus on expanding its presence in the Southeast Asian market, where crypto trading remains robust despite regulatory constraints.