Thailand's KBank makes a bold move into the cryptocurrency sector, signaling confidence in digital assets and expanding its footprint in the digital asset space.
Thailand's Kasikorn Bank, also known as KBank, has made a significant move into the cryptocurrency sector with the acquisition of a 97% stake in the local crypto exchange, Satang. The deal, valued at $103 million, was conducted through a new subsidiary, Unita Capital. The acquisition marks a significant step in the bank's efforts to expand its footprint in the digital asset space.
As part of the acquisition, Satang will undergo a rebranding and will now be known as Orbix. This is not the only change that KBank has in store. The bank has also established three additional subsidiaries, each with a specific focus within the digital asset sector. These include custodian services, asset management, and blockchain technology development.
Kasikorn Bank has set ambitious targets for its new venture. The bank aims to capture a significant 20% of the crypto market share in Thailand by 2024. This acquisition and the subsequent establishment of specialized subsidiaries align with KBank's broader ambition to invest in web3 and AI startups, indicating a strategic shift towards emerging digital technologies.
The move comes amidst a changing regulatory environment in Thailand. The country has recently implemented stricter regulations on crypto traders. However, this has not deterred KBank from intensifying its efforts in the cryptocurrency sector, demonstrating its confidence in the potential of digital assets.
The acquisition of Satang by Kasikorn Bank signifies a growing interest and acceptance of cryptocurrency and blockchain technology within the traditional banking sector. It also highlights the potential of these digital assets and technologies to transform the financial landscape. For consumers, this could mean increased access to digital asset services and potentially more opportunities for investment and participation in the digital economy.
