Bitget scraps plans to apply for a Hong Kong crypto license
November 13, 2023 3:10 PM
Bitget, a cryptocurrency exchange, has asked its members to withdraw their funds by December 13 after it said it will no longer pursue a cryptocurrency license in Hong Kong.
Bitget, a cryptocurrency exchange, has decided against applying for a Virtual Asset Trading Platform (VATP) license in Hong Kong, citing market and commercial concerns.
On November 13th, Bitget confirmed that BitgetX, which can be reached at BitgetX.hk, would be closing permanently on December 13th, 2023.
The notification explains that Bitget will be leaving the Hong Kong market permanently since the company did not apply for a VATP license.
In a recent announcement, BitgetX urged consumers to remove their cryptocurrency holdings from the exchange before December 13. The message stated, "After this date, you will not be allowed to manage or gain access to your assets on BitgetX, and the BitgetX website will stop being accessible."
Bitget highlighted that, initially, only withdrawals would be possible and that customers would not be able to exchange their assets on the platform. The notice also stated that the exchange will no longer accept new customers as of November 13.
According to CoinGecko data, Bitget, a prominent worldwide cryptocurrency exchange, was established in 2018 and trades close to one million coins every day. A VATP license is required under the Hong Kong Securities and Futures Commission's new crypto framework, which went into effect in June 2023, and the exchange's Hong Kong branch has frequently stated that it will seek this license.
On November 13, it was reported that OSL, one of the initial crypto exchanges to obtain a Hong Kong crypto license, will be temporarily suspending stock market operations. Following BC Technology's request, trading of OSL shares was put on hold on the Hong Kong stock exchange.
Rumors have emerged that Bitget bought out or made investments in the OSL company, according to industry insiders. According to reports from October, OSL operator BC Technology explored selling the OSL exchange for HK$1 billion (about $128 million).