November 20, 2023
By Sharan Kaur Phillora
Binance, a leading figure in the cryptocurrency industry, has marked its entry into Thailand’s digital asset market through a strategic collaboration with Gulf Energy. This venture introduces Binance.th, a digital asset exchange aiming to reshape Thailand’s cryptocurrency landscape, currently dominated by the local giant Bitkub.
Here’s what we know:
Scheduled for public access in early 2024, Binance.th is now operational by invitation. Gulf Energy Development, Binance’s joint venture ally, announced the launch following approval from Thailand’s Securities and Exchange Commission. This partnership between a global crypto powerhouse and a local energy titan reflects a significant step in integrating advanced blockchain technology within Thailand’s financial sector.
Amidst a challenging year for the crypto industry, with a global market downturn termed the “crypto winter,” Binance’s launch is a bold move. This period saw the fall of FTX, one of Binance’s competitors, and a liquidity crisis for Thailand’s second-largest exchange, Zipmex, triggered by the Terra Luna crash. Despite these setbacks, Bitkub seized a considerable market share, accounting for 75.4% of Thailand’s digital trading.
The Thai crypto market’s resilience is evident in its trading volumes. Last year, the top four exchanges in Thailand recorded $37.94 billion in transactions, as per CoinGecko data, with Bitkub contributing a substantial $28.6 billion.
Gulf Binance’s entry is more than just an expansion of services. It represents a potential paradigm shift in the Thai blockchain ecosystem. The platform will offer exchange and brokerage services for various cryptocurrencies and digital tokens.
According to Gulf Energy CFO Yupapin Wangviwat, the globally standardized platform of Gulf Binance is set to elevate service levels and promote technological advancements in Thailand’s blockchain infrastructure.
The significance of this launch extends beyond Thailand, as Binance seeks to solidify its position in Southeast Asia’s burgeoning crypto market. This move could be instrumental for Binance in creating a robust international presence, especially as it navigates through legal and regulatory challenges in the U.S. and Europe. For instance, Binance faced lawsuits in the U.S. for illegal cryptocurrency listings and marketing unregulated exchanges to U.S. customers.
About the author
Sharan Kaur Phillora’s thirst for knowledge has led her to study many different subjects, including NFTs and Blockchain technology – two emerging technologies that will change how we interact with each other in the future. When she isn’t exploring a new idea or concept, she enjoys reading literary masterpieces.