For years, Bitkub symbolised Thailand's cryptocurrency boom. It was the country's largest digital asset exchange, the creator of KUB Coin, and the startup that reached unicorn status after Siam Commercial Bank (SCB) announced a landmark acquisition worth 35 billion baht.
At its peak in late 2021, Bitkub was poised to become Thailand's undisputed crypto champion.
Five years later, the company faces its biggest governance challenge.
The Securities and Exchange Commission (SEC) revealed on Thursday it filed a criminal complaint against Bitkub Online Co Ltd and two former directors, alleging they submitted false regulatory reports following a 1.7-billion-baht cyber-attack in 2021.
The case has reignited questions over the company's corporate governance, transparency and whether Thailand's first crypto success story can regain investor trust.
According to the regulator, hackers withdrew digital assets across 16 cryptocurrencies from Bitkub on May 10, 2021, with losses estimated at 1.7 billion baht.
Although customers were eventually made whole after the company replaced the stolen assets by Oct 31, 2021, regulators allege Bitkub failed to disclose the incident properly in its daily net capital reports (Form DA 1) for more than five months. Instead, the company reported no material deterioration in its financial position.
The SEC referred the case to the Economic Crime Suppression Division for criminal investigation, with a police probe possibly followed by public prosecution.
FOUNDER'S RESPONSIBILITY
Soon after the SEC's announcement, Sakolkorn Sakavee, founder and former chairman of Bitkub Capital Group Holdings, released a video statement accepting sole responsibility.
He admitted personally altering the regulatory filings without informing fellow directors, executives or employees.
Mr Sakolkorn said he chose not to disclose the cyber-attack because he feared triggering panic withdrawals, a collapse in cryptocurrency prices and a "bank run" that could have destroyed the exchange.
He said the founders used their own funds to repurchase the stolen digital assets until every customer had been fully reimbursed.
Mr Sakolkorn apologised for concealing the incident, resigned from Bitkub's boards and pledged full cooperation with regulators.
He stressed SEC inspections conducted in 2025 confirmed that customer assets remained fully intact, while Bitkub has since invested more than 400 million baht to strengthen cybersecurity and now stores customers' assets with global custodians including BitGo and Coinbase.
A FALLING CRYPTO STAR?
Industry observers said the legal case may not immediately threaten Bitkub's operations, but its reputational impact could prove more damaging.
Udomsak Rakwongwan, co-founder of decentralised derivatives platform FWX and a lecturer at Kasetsart University, said he believes Bitkub is more likely to experience a gradual decline than a sudden collapse.
The exchange already lost its market pole position, with Binance TH overtaking Bitkub in trading volume, according to coinmarket.com.
Once commanding more than 90% of Thailand's crypto trading market, Bitkub's market share has reportedly fallen to roughly half that level or less.
According to Mr Udomsak, the biggest challenge is no longer technology but investor confidence.
Years of undisclosed information and questions over corporate governance could make fundraising, attracting strategic partners and pursuing future expansion significantly more difficult, he noted.
The criminal investigation also leaves former executives exposed to potential legal risks if prosecutors proceed with the case, Mr Udomsak told the Bangkok Post.
THE NEXT STAGE
The cyber-attack occurred on May 10, 2021, just days before Bitkub launched KUB Coin on May 20, 2021.
Initially priced at 30 baht, the token surged during the crypto bull market, reaching an all-time high of around 580 baht in December 2021 after SCB announced plans to acquire a controlling stake in Bitkub.
The proposed 17.85-billion-baht purchase of a 51% stake valued Bitkub at roughly 35 billion baht, making it Thailand's first crypto unicorn. The acquisition was later cancelled in August 2022.
Today KUB trades near 24 baht, representing a decline of roughly 96% from its peak.
The SEC's criminal referral does not indicate guilt, as the case must still pass through investigation, prosecution and court proceedings.
Whether Bitkub ultimately recovers may depend less on the outcome of the legal process than whether it can rebuild the trust that once made it the face of Thailand's digital asset industry.
"For many investors, the question is no longer whether Bitkub will survive, but if it can ever reclaim the dominance it once enjoyed," wrote Piriya Sambandaraksa, a Thai Bitcoin enthusiast, on his Facebook page.