The Thai Securities and Exchange Commission (SEC) has asked clarification from cryptocurrency exchange Zipmex’s decision to freeze withdrawals, according to a release on the regulator’s website on Thursday.
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The Thai SEC sent a letter to Zipmex seeking clarity on the amount of customer assets under management and details of how deposited funds were used in relation to the ZipUp program.
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On Wednesday, Zipmex froze withdrawals after citing “volatile market conditions” and financial difficulties of “key business partners.”
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The regulator also enquired whether Zipmex has used lending platforms Celsius and Babel Finance.
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Earlier on Thursday, Zipmex announced on Twitter that it would be restarting withdrawals for its Trade Wallets, although ZipUp accounts will remain disabled until further notice.
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Several crypto platforms have also frozen withdrawals since the market downturn in June including Celsius, Babel Finance and Voyager Digital. Celsius and Voyager have since filed for bankruptcy.
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Zipmex did not immediately respond to CoinDesk’s request for comment.
