KuCoin Expands into Thailand’s Competitive Crypto Market

KuCoin is expanding into Thailand, launching a new crypto platform as KuCoin Thailand after rebranding from ERX. The move places it among eight competitors in a booming regulatory landscape. While the Thai market is favourable for crypto trading, challenges remain with recent government crackdowns and legal issues in the US.

KuCoin, a prominent cryptocurrency exchange, is making strides into the Southeast Asian market, specifically targeting Thailand. According to an announcement from April 23, the platform aims to launch a new crypto exchange that will offer a range of digital assets and products tailored to the local market needs. Moreover, ERX Company Ltd., which is notable as Thailand’s first SEC-regulated digital token exchange, has officially rebranded to KuCoin Thailand as of April 22.

Operating under the familiar ERX umbrella, the newly minted KuCoin Thailand has secured a crypto exchange license from Thai authorities. Att Tongyai Asavanund, the CEO of ERX, stated that this move is about enhancing their capabilities in providing localised solutions for Thai customers. Users from ERX have seamlessly transitioned to this new platform, with the KuCoin TH app now accessible on both Android and iOS devices.

However, KuCoin is stepping into a fiercely competitive atmosphere, joining eight other firms also licensed by the Thai SEC to operate in the crypto space. Competitors include WAAN Exchange, Gulf Binance, Thai Digital Assets Exchange, and others. Notably, Bitkub dominates the landscape, boasting a daily trading volume of approximately $70 million, while KuCoin’s global exchange claims a staggering $3.8 billion in daily transactions.

The Thai government is exploring innovative uses of cryptocurrency, having initiated a pilot programme that would allow tourists to use Bitcoin for payments on Phuket, although this initiative has yet to roll out. On a less optimistic note, in 2022, the central bank prohibited the use of crypto assets for payments. Earlier this month, Thai finance regulators ramped up their focus on foreign peer-to-peer platforms, aiming to curb scams and bolster financial security.

It’s worth noting that KuCoin is also engaged in legal matters in the US, as they strive to resolve a lawsuit from the Commodity Futures Trading Commission. This suit, which dates back to March 2024, alleges violations of the Commodity Exchange Act under the previous administration. The outcome could significantly impact KuCoin’s expansion activities.