Gate.io’s Hong Kong Affiliate withdraws license application

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As a seasoned crypto investor with experience navigating the volatile and ever-changing cryptocurrency market, I’m following the recent development regarding Gate.HK’s closure and withdrawal of its crypto trading license application in Hong Kong with great interest.

Gate.HK, the Hong Kong branch of cryptocurrency exchange Gate.io, has announced its decision to discontinue operations and withdraw its application for a crypto trading license.

Users of Gate.HK are encouraged to withdraw their assets by August 28th as the platform undergoes a significant overhaul. Registration and deposit functions have been temporarily suspended. A token delisting process, affecting prominent tokens such as Bitcoin and Ethereum, is scheduled for May 28th.

As a crypto investor, I’ve noticed that the platform I use, which was set to launch in May 2023, unexpectedly withdrew its license application from the Hong Kong Securities and Futures Commission on May 22 without disclosing the reason behind this decision. Unfortunately, since the SFC mandates that crypto platforms must be operational by the end of May or face closure, we investors may have to find an alternative platform if we want to continue our investments in the crypto market.

Gate.HK intends to re-enter the Hong Kong market once they have secured the necessary licenses. This decision comes in the wake of other exchanges such as HKVAEX (linked to Binance) and Huobi HK ceasing operations in May, while the Securities and Futures Commission (SFC) is currently evaluating applications from approximately 20 companies, including OKX and Crypto.com.

The decision by Gate.HK to halt its cryptocurrency trading activities in Hong Kong and abandon its application for a license, as well as similar actions by other exchanges, suggests that the regulatory environment for the crypto industry is evolving and may significantly affect how these businesses operate and interact with markets.

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2024-05-23 15:34