The Securities and Futures Fee of Hong Kong (HKSFC) has added HKX to the rising variety of cryptocurrency exchanges which have withdrawn their license purposes within the area.
On July 18, the HKX administration group introduced its resolution to close down the Hong Kong-based crypto change, advising present customers to withdraw their crypto property. The discover that was revealed on the official web site said:
“We want to inform you that our administration group has, after cautious consideration, determined to withdraw our utility for the Sort 1 and Sort 7 licenses below the Securities and Futures Ordinance (Cap. 571) and the digital asset service supplier license below the Anti-Cash Laundering and Counter-Terrorist Financing Ordinance (Cap. 615).”
Battle to adjust to Hong Kong laws
HKX initially utilized for the Hong Kong license in February. Nonetheless, the change — like many others — did not adjust to Hong Kong’s regulatory necessities.
As of July 22, a complete of 13 cryptocurrency exchanges or buying and selling platforms have withdrawn their license purposes in Hong Kong, with one having its utility returned for undisclosed causes.
Crypto withdrawals from a defunct crypto change
In preparation for its winddown, HKX halted new person registrations and suspended buying and selling and deposit companies on Could 29. With no instant plans to restart companies or reapply for a license, HKX dedicated to helping its customers with the secure withdrawal of all property from the platform.
Associated: Hong Kong SFC to compliance check crypto firms offices after license deadline
Hong Kong-based cryptocurrency change Gate.HK had beforehand withdrawn its license utility after failing to meet the local licensing requirements.
Nonetheless, whereas asserting its shutdown in Could, the change revealed plans for reconstructing its platform to adjust to Hong Kong’s regulatory necessities. These necessities embrace establishing Anti-Cash Laundering and Counter-Terrorist Financing measures. The corporate mentioned:
“Gate.HK is actively engaged on the aforementioned overhaul. We plan to renew our enterprise in Hong Kong sooner or later and contribute to the digital asset ecosystem after acquiring the related licenses.”
At the moment, Gate.HK permits solely the withdrawal of funds for its buyer base.
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