Gate.HK withdraws crypto platform licence application in Hong Kong, urges asset withdrawal by August 28, 2024.
Delisting all tokens, including Litecoin and Uniswap, by May 28, 2024, in compliance with local regulations.
HKVAEX and Huobi HK also withdrew licence applications amid regulatory uncertainties
The Hong Kong branch of cryptocurrency exchange Gate.io, Gate.HK, has said that it is withdrawing its application for a licence to operate a crypto trading platform. The business will sever its ties and completely revamp its platform.
Gate.HK urged users to withdraw their assets by August 28, 2024, as part of this transition.
The website will instantly stop accepting new users and deposits. Furthermore, by May 28, 2024, it intends to delist every token, including Bitcoin, Ethereum, Litecoin, Solana, Polkadot, Polygon, Uniswap, and USDT.
https://t.co/SvafKCzXBn, the Hong Kong branch of #crypto exchange https://t.co/AtzshWkAh7, is shutting down and has withdrawn its license application for crypto trading in the region. #CryptoNews #GateHK https://t.co/5QmfOFK0ig pic.twitter.com/lTNQiDLHag
— 1ATH.Studio (@1ATHStudio) May 23, 2024
Regulatory Compliance
The trading platform initially submitted its application for a virtual asset trading platform licence to the Hong Kong Securities and Futures Commission in February of this year. However, it retracted the application yesterday, May 22, as per the SFC’s website records.
Gate.HK further stated, “We plan to resume our business in Hong Kong in the future and contribute to the virtual asset ecosystem after obtaining the relevant licences.” The company is actively working on restructuring its platform to comply with future regulatory requirements.
Market Impact and Industry Trends
The withdrawal of Gate.HK’s licence application follows a pattern seen with other crypto exchanges in Hong Kong. For instance, HKVAEX, a platform linked to Binance, shut down after withdrawing its licence application in May 2024.
Similarly, Huobi HK, another major player, withdrew its licence application for the second time last week, raising concerns about its legal operations in the region.
Read Also:
WadzPay’s Dubai Entity Secures VASP Licence for Virtual Asset Services
GCEX Receives Operational VASP Licence from Dubai’s Virtual Assets Regulatory Authority
Lawmaker: Hong Kong Dollar Can be Issued as a Stablecoin
Are Hong Kong’s Crypto-Friendly Policies Encouraging Money Laundering?
OKX To Set Up Shop, Sponsor Crypto Events in Hong Kong
The post Gate.HK Withdraws License Application and Halts Operations in Hong Kong appeared first on Crypto News Land.