The Securities and Futures Commission (SFC) in Hong Kong has denied OKX’s request for a VASP license, making it the most recent exchange to do so.
Following the withdrawal of its Virtual Asset Service Provider (VASP) license in Hong Kong, OKX, a cryptocurrency exchange, said on Friday that it would stop offering trading services to residents of the city by the end of this month.
This follows similar actions taken earlier this month by Huobi HK and Gate.io’s Hong Kong branch, HKVAEX, which withdrew their VASP applications from the Hong Kong Securities and Futures Commission (SFC).
By stating that it had undergone “careful deliberation” before deciding to withdraw the license application, OKX made its statement public on May 24.
“Based on our strategic evaluation, we have chosen to withdraw OKX HK’s VASP license application now.” Thus went the declaration. “By Friday, May 31, 2024, in compliance with regulatory requirements, OKX will stop offering centralized virtual asset trading services to residents of Hong Kong.”
By stating that withdrawal services would be unaffected even after May 31, the exchange aimed to reassure users that their funds would be secure. Users may have issues with deposits beyond this date, however.
After May 31, 2024, please do not add funds to your OKX account. “Automatic credit may not be available for deposits made after May 31, 2024 (23:59:59 HKT).” The conversation was a warning.
Moreover, the cryptocurrency exchange assured Hong Kong customers that their OKX Web3 wallet services would continue to function normally despite the change.
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