6 months ago
Binance-linked HKVAEX speech is closing down and has withdrawn its exertion for an operational licence successful Hong Kong, according to a announcement connected the Securities and Futures Commission (SFC) website.
The crypto trading platform, operating nether the sanction BX Services Ltd, formally withdrew its licence exertion connected March 28, astir 3 months aft it applied with the fiscal regulator.
Then, aboriginal connected March 29, the institution announced the “Phased suspension and closure” of its services, offering users little than a period to retreat assets by Apil 30. There volition beryllium “a implicit closure of [HKVAEX] authoritative website connected 1 May 2024.”
Last year, reports emerged that Binance backed HKVAEX’s bid to unafraid a section crypto licence successful the region. The Hong Kong entity reportedly shared resources with the Richard Teng-led speech and held associated events with the important crypto firm.
At the time, manufacture experts warned that Binance’s guilty plea successful the United States could interaction HKVAEX’s chances of securing licensing successful the Asian country.
It was unclear if Binance’s regulatory struggles informed the caller licence withdrawal.
Meanwhile, reports person suggested that HKVAEX’s exertion withdrawal mightiness beryllium owed to incomplete documentation oregon different reasons.
Notably, HKVAEX is not the lone large applicant that has precocious withdrawn its applications. Last month, HTX’s Hong Kong subsidiary concisely withdrew its exertion earlier resubmitting it aft a fewer days. It present appears improbable that HKVAEX plans to resubmit its application.
This improvement coincides with Hong Kong SFC’s ongoing efforts to modulate the emerging industry.
Recently, the SFC has augmented its scrutiny by flagging salient crypto companies similar Mexc and Bybit for operating without licenses wrong its jurisdiction, categorizing them arsenic suspicious virtual plus trading platforms.
Moreover, February marked the extremity of the registration window for crypto firms seeking licensing to run successful Hong Kong. The regulator has consistently warned that unregistered entities successful its jurisdiction indispensable adjacent their businesses by the extremity of May.
A HVAEX connection reads,
“We apologise for immoderate inconvenience caused by our platform’s closure. We’re grateful for your enactment and spot successful HKVAEX and impulse users to instrumentality due enactment by withdrawing their assets by 30 April 2024.”
The station Binance-backed HKVAEX shuts down, gives users 30 days to retreat amid Hong Kong regulatory tightening appeared archetypal connected CryptoSlate.
English (US) 