Thai SEC Files Criminal Complaint Against Bitkub Over Alleged $50M Cyberattack Cover-Up
Thailand’s top financial regulator has filed a criminal complaint against Bitkub Online and two former company directors, accusing the digital asset exchange of concealing a 1.7 billion baht ($50 million) security breach from regulatory disclosures in 2021.
According to the Securities and Exchange Commission of Thailand, former directors Sakolkorn Sakavee and Thaweesap Rawan oversaw the submission of daily net liquid capital reports between May 10 and October 30, 2021, that failed to accurately reflect a massive asset loss. A cyberattack in May 2021 resulted in the theft of 16 different digital assets from the platform.
Regulators assert that by omitting the losses from required regulatory balance sheets, Bitkub created a false impression that customer assets were untouched and that the company had sustained no financial harm. Under Thailand’s Emergency Decree on Digital Asset Businesses B.E. 2561 (2018), licensed exchanges are required to maintain strict capital reserve transparency to ensure market stability and safeguard retail investors against systemic insolvencies.
Bitkub pushed back against allegations of fraud, clarifying in a public statement that the disclosure decision was taken deliberately to prevent a potential bank run while management addressed the breach. The exchange noted that its co-founders personally purchased equivalent digital assets to replace all stolen funds by October 31, 2021, ensuring neither the firm nor its clients suffered net financial losses.
The company added that it has since overhauled its governance framework, internal compliance protocols, and technical security infrastructure. Established in 2018, Bitkub dominates Thailand’s retail cryptocurrency landscape, processing roughly $712 million in daily trading volume and holding the top trust rating among domestic platforms according to market tracker CoinGecko.
The criminal referral comes at a sensitive time for the exchange’s parent entity, Bitkub Capital Group Holdings, which has been evaluating an initial public offering, including a potential dual listing in Hong Kong. Asian regulatory authorities, particularly in crypto hubs like Hong Kong and Singapore, have increasingly tightened compliance standards for digital asset firms seeking capital market entry, placing heightened emphasis on historical disclosures, corporate governance, and executive accountability.
The SEC’s complaint has been submitted to Thai law enforcement authorities, marking the beginning of a formal legal procedure that could lead to police investigations, public prosecution, and court hearings.
