More Crypto Firms Exit HK’s Licensing Race as Deadline to Cease Operations Looms

More Crypto Firms Exit HK’s Licensing Race as Deadline to Cease Operations Looms

by May 22, 2024

An increasing number of crypto firms are withdrawing their license applications to be a virtual asset trading platform (VATP) in Hong Kong.

Among them are Willows Asia Technology Company Limited (IBTCEX) and QuanX Lab Limited both withdrew their applications on 13 May 2024.

Similarly, HBGL Hong Kong Limited (Huobi HK), the Hong Kong affiliate of Justin Sun’s cryptocurrency exchange HTX, has withdrawn its application for the VATP license for the second time.

Other firms that have withdrawn or had their applications returned include AMMBR (HK) LIMITED, BitHarbour (Hong Kong) Limited, Meex Digital Securities Limited, and BX SERVICES LIMITED (HKVAEX).

To date, only OSL Digital Securities Limited and Hash Blockchain Limited have been awarded the digital asset licenses in Hong Kong.

Meanwhile, 21 applicants are still in the running for Hong Kong’s VATP license, including well-known global platforms such as Matrixport, OKX, Crypto.com, and Bybit.

The Securities and Futures Commission (SFC) stated that virtual asset trading platforms operating in the region must submit their license applications by 29 February 2024, or cease operations by 31 May 2024.

Investors using these platforms are advised to prepare for potential disruptions.

 

Featured image credit: Edited from Freepik