Latest revelations by Wu Blockchain have despatched shockwaves by way of the cryptocurrency group, unveiling the abrupt closure of the Hong Kong alternate HKVAEX. Suspected to be affiliated with Binance, HKVAEX introduced its everlasting closure, prompting all customers to withdraw their property earlier than April 30.
Timeline of Occasions
In response to reports, HKVAEX submitted a license software to the Hong Kong Securities and Futures Fee (SFC) on January 4, 2024, solely to withdraw it on March 28. This sudden withdrawal raised suspicions and fueled hypothesis relating to the alternate’s future.
Journalist Colin Wu means that attainable causes for the withdrawal might embrace requests for modifications within the audit firm or inadequate software supplies.
Right here’s what you might want to know!
This resolution adopted the SFC’s deadline of February 29 for all crypto exchanges to use for licenses within the area. HKVAEX, reportedly linked to Binance as per Chinese language media, initially utilized on January 4.
In an official assertion, HKVAEX confirmed the phased suspension and closure of its platform providers. Key particulars of the announcement embrace:
Speedy Service Suspension: HKVAEX ceased new person registrations and digital asset deposit providers with fast impact.
Buying and selling Service Closure: Buying and selling providers will likely be terminated on April 5, 2024, at 23:59 UTC+8. All present spot orders will likely be mechanically canceled, and customers will likely be unable to position new orders.
Web site Delisting: The official HKVAEX web site will likely be delisted on Could 1, 2024, rendering it inaccessible to customers.
Submit-Delisting Help: Following the web site delisting, customers can search help with asset withdrawals or different points by contacting the assist workforce by way of e mail.
For a easy closure, HKVAEX urges all customers to take fast motion by withdrawing their property earlier than April 30, 2024, emphasizing the significance of well timed asset retrieval.
HKVAEX-Binance Connection
The closure of HKVAEX has sparked considerations and raised questions inside the crypto group relating to the alternate’s ties to Binance and the explanations behind its sudden demise.
Final yr, there have been experiences that Binance supported HKVAEX’s bid for a crypto license in Hong Kong, however now HKVAEX has withdrawn its software. It’s unclear why they withdrew, but it surely may be resulting from incomplete paperwork or different points.
In response to the regulator’s scrutiny, a Binance consultant clarified that HKVAEX isn’t affiliated with the Binance Group. There’s hypothesis that Binance sought a compliant separate alternate in Hong Kong to broaden easily. Nevertheless, indications recommend that the alternate might have already ceased operations.
This comes at a time when different large candidates are additionally withdrawing their purposes. Hong Kong’s SFC is engaged on regulating the crypto trade. At the moment, OSL and HashKey are the one two platforms permitted for licenses by the SFC.
