World Crypto Global
- Written by: Jared Kirui
- Mon, 01 Apr 2024
- Israel
Bitkub Capital Group Holdings, the parent company ofThailand's largest cryptocurrency exchange Bitkub, has announced plans to go public in2025. The company has hired financial advisors for this impending transition. According to a recent interview quoted by Bloomberg,Bitkubs CEO, Jirayut Srupsrisopa, unveiled the ambitious strategy. Srupsrisopanoted that the company will be listed on the Stock Exchange of Thailand to enhance the visibility of its brand and to raise capital for business expansion. Competition Intensifies in Southeast AsiaAs Bitkub prepares for its IPO, there is growing competition in Southeast Asia's crypto market. Rivals, such as Binance andKasikornbank Pcl, have been actively vying for market share in the region. The surge in active crypto trading accounts inThailand, reaching 238,000 in March, reflects the growing interest andparticipation in the sector.Bitkub is reportedly expanding its workforce with the aim of increasing its headcount to 3,000 by 2025 in anticipation of the IPO. Despite regulatorychallenges, including the scrapping of a proposed acquisition by SCB X Pcl,Bitkub is eying expansion in Southeast Asia. Last year, Bitkub sold a stake in Bitkub OnlineCo., boosting its valuation. Bitkub Online accounts for a significantportion of Bitkub Capital's earnings. Thus, the company expects to grow its trading volumes after the IPO.Recently, Thailand's Securities and Exchange Commission(SEC) authorized asset management firms to venture intodigital assets by launching private funds dedicated to investing in US-listedBitcoin ETFs. While retail investors are excluded from participating,institutional investors and ultra-high-net-worth individuals have theopportunity to invest in Bitcoin through regulated channels.Bitkub Eyes Growing Crypto Market in ThailandThe decision to permit investment in Bitcoin ETFs occurredafter careful deliberation by the Thai SEC, acknowledging the heightenedinterest in cryptocurrencies amid a bullish market. With Bitcoin soaring tounprecedented highs, recently surpassing $70,000, institutional demand fordigital assets has surged in Thailand.Despite the enthusiasm surrounding Bitcoin ETFs, regulatorsremain cautious, citing the inherent risks associated with digital assets.While the US has paved the way for such investment vehicles, Thai regulatorsinitially expressed reservations due to the nascent nature of Bitcoin ETFs andtheir potential implications for the local market.However, the classification of ETFs as securities ratherthan digital assets has paved the way for Thai securities firms to facilitatetrading, expanding the investment landscape. The Thai regulator aims to fostergreater financial inclusion and diversification opportunities by providinginstitutional investors with regulated access to Bitcoin.This article was written by Jared Kirui at www.financemagnates.com.
