Gate.HK, a Hong Kong-based crypto exchange and subsidiary of Gate.io, has announced its decision to cease operations and has withdrawn its application for a license to operate a crypto trading platform in the region. The company plans to undergo a “major overhaul” of its current platform and has requested users to withdraw their funds by August 28. Additionally, on May 28, Gate.HK intends to delist all tokens and has already halted new user registration and deposits.
Gate.HK had applied for a virtual asset trading platform with the Hong Kong Securities and Futures Commission (SFC) in February of this year. However, on May 22, the company withdrew its application, as reported on the SFC website. The reasons behind the withdrawal remain undisclosed by the SFC.
It is worth noting that crypto trading platforms are required by the SFC to either apply for a license by February 29th or shut down their operations in Hong Kong by May 31st, or three months after receiving additional notice.
Gate.HK’s decision to withdraw its application for a license comes amid a growing interest in obtaining a retail trading license from international exchanges. Approximately 20 cryptocurrency companies, including Crypto.com, OKX, Bullish, and Bybit, are reportedly awaiting the review of their applications by the SFC.
This development follows the closure of HKVAEX, a cryptocurrency exchange allegedly associated with Binance, which withdrew its licensing application on March 28 and officially closed its platform on May 1.
Today’s highlighted crypto news revolves around the question of whether Bitcoin will return to $73K by the end of 2024.
