On March 28, HKVAEX, a Hong Kong-based cryptocurrency exchange apparently related to Binance, decided to withdraw its application for a license from the Securities and Futures Commission of Hong Kong (SFC).
This decision came after the SFC set a February 29 deadline for all cryptocurrencycurrency exchanges to apply for licenses to operate in the region. According to Chinese media, HKVAEX initially submitted its application on January 4 and claims to share resources with Binance.
The withdrawal of HKVAEX’s license application was acknowledged on the SFC website over three months after it was been filed. According to laws, HKVAEX must suspend operations in Hong Kong by May 31 following the application withdrawal.
Despite requests, Binance has yet to comment on its relationship with HKVAEX or the decision to withdraw the licensing application.
In 2024, three other virtual asset trading sites, including the well-known exchange Huobi, withdrew their license applications from the SFC for unexplained reasons.
There has been conjecture in the cryptocurrency world, particularly on Crypto Twitter, about the motives behind these withdrawals. Some recommend changing audit companies or providing more information.
