Binance Partners With Energy Firm To Establish Crypto Exchange In Thailand

A Possible Cryptocurrency Exchange in Thailand

The Gulf Energy Development announced the agreement between its subsidiary Gulf Innova and Binance in a letter written to the Stock Exchange of Thailand on Monday (January 17, 2022). According to the energy company, the collaboration with the exchange giant will assist the Southeast Asian country in further developing its blockchain and crypto infrastructure.

Also, a Binance spokesperson said that the latest development is the first step “to explore opportunities in an open and collaborative manner.” an excerpt from the letter by Gulf Energy stating the reason for the partnership, said:

“The Company foresees rapid growth in digital infrastructure in Thailand as the economy increasingly becomes driven by innovation and technology, with digital assets and related technology playing a prominent role in improving efficiency of financial infrastructure in the country to meet the increasing demand of Thai people.”

Meanwhile, Binance has gotten into trouble with Thai regulators in the past, back in July 2021, when the country’s Securities and Exchange Commission (SEC) filed a complaint against the cryptocurrency exchange, alleging that the company was operating in the country without a license.

On the other hand, the Bank of Thailand (BOT) is looking to establish regulatory policies that would oversee crypto operations in the country, and prevent the use of cryptocurrency for payments. The central bank stated that the crypto regulation would safeguard retail investors and also reduce the risks of digital assets to financial stability.

However, Siam Commercial Bank, Thailand’s oldest bank, bought a 51% stake in the country’s local cryptocurrency exchange, Bitkub. The CEO of the exchange platform Jirayut Srupsrisopa recently advised Thailand’s tourism agency to target crypto holders.

Srupsrisopa, who noted that the nascent industry was almost six times more than the country’s gross domestic product (GDP), believed that cryptocurrency could help improve Thailand’s GDP.

Binance Continues to Expand its Collaborative Efforts

The latest development comes shortly after Binance collaboration with major companies in Indonesia. Back in December 2021, there were reports that the exchange was holding talks with the country’s largest telecom operator, PT Telkom, as well as PT Bank Central Asia, controlled by Indonesian billionaire brothers Michael and Budi Hartono.

Part of the supposed benefits of the collaboration would not only see increased cryptocurrency adoption but also enable many adult citizens who are unbanked to access financial services. According to a Binance spokesperson at the time:

“We are supportive of the sustainable growth of the blockchain industry globally and we are constantly looking at business opportunities in every country.”

Binance is also working towards changing its operational model to make the company a centralized entity, following heavy regulatory scrutiny from regulators globally. The cryptocurrency exchange giant has handpicked Ireland as one of the possible locations for its headquarters.

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