HKVAEX, Linked to Binance, Withdraws License Application from Hong Kong’s SFC

cryptonews.com:

The crypto exchange HKVAEX, linked to the world’s largest crypto exchange, Binance, has withdrawn its virtual asset trading platform license application from the Hong Kong Securities and Futures Commission (SFC) post-deadline.

The Hong Kong securities regulator asked crypto exchanges and firms to apply for the license before the deadline of February 29.

The Virtual Asset Trading Platform (VATP) is a license provided by the government of Hong Kong that allows crypto exchanges to operate within the region’s bounds.

Although the license has been available for several years now, only two exchanges—HashKey and OSL—currently possess one. HashKey secured its approval in November 2022, with its competitor getting the nod a month later in December 2022. Several applicants have been on the waitlist for a while, including HKVAEX, linked with Binance, until yesterday, when the firm withdrew its application.

HKVAEX, which reportedly shares technical and other resources with Binance, according to Chinese state media SCMP , submitted its application on January 4. However, the exchange appears to be missing from the list of companies whose license applications are on Hong Kong’s SFC website, which confirms that HKVAEX withdrew its license application nearly three months after the filing. 

Notably, the SFC publicly maintains a list of crypto platforms that will receive operational licenses to raise public awareness of safe crypto trading.

The reasons behind the withdrawal are unclear. Some  believe it may be due  to a request to change the audit company, insufficient materials, or other reasons. 

The Hong Kong SFC stipulates that crypto trading platforms apply for regional operational licenses by February 29, also setting a May 31