Hong Kong ends license application drive for crypto exchanges

Hong Kong has stopped accepting license functions from crypto exchanges as of Feb. 29 and can quickly require all noncompliant buying and selling platforms to shut their enterprise domestically.

The Securities and Futures Fee (SFC) of Hong Kong noted that every one crypto exchanges in Hong Kong which have didn’t file for license functions should wind up business by May 31, 2024.

The Hong Kong SFC additionally urged buyers utilizing digital asset buying and selling platforms to “make preparations early” and migrate to one of many gamers which have both already acquired working licenses or have utilized for one.

The SFC formally licensed two crypto buying and selling operators in Hong Kong: OSL Digital Securities on Dec. 15, 2020, and HashKey Trade on Nov. 9, 2022. The regulator acquired license functions from 22 crypto buying and selling platforms, together with 4 exchanges that had utilized below the SFC’s earlier opt-in regime for crypto buying and selling platforms.

As well as, 4 different exchanges — Huobi HK, Meex, BitHarbour and Ammbr — had utilized for the license however later both withdrew or had their functions returned. The SFC may even publicly preserve a listing of crypto platforms that ultimately might be required to shut down by legislation, which goals to tell residents in regards to the related dangers.

Through the close-down interval, Hong Kong will restrict the trade’s operational functionality and implement the closure of all advertising and marketing actions within the area. The Hong Kong SFC may even launch a listing of crypto exchanges deemed to be licensed as of June 1, 2024. Nonetheless, it is not going to assure a license procurement for all of the names talked about.

Associated: Hong Kong SFC issues warning over imposter crypto exchange posing as MEXC

As soon as licensed by the Hong Kong SFC, the crypto exchanges can onboard retail buyers to commerce Bitcoin (BTC) and Ether (ETH). Varied altcoins and stablecoins are presently below assessment by the SFC for buying and selling approval.

Hong Kong-based crypto trade BitForex, went incommunicado recently after suspending withdrawals for at least three days.

The exchange’s X account hasn’t been updated since May 2023. On its official Telegram channel, BitForex users are reporting problems with their accounts, varying from the inability to enter their accounts to the dashboard not showing any assets. Several users shared a pop-up screen showing they are blocked from accessing the company’s website. Cointelegraph’s internal investigation reproduced the same issue.

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