The cryptocurrency
derivatives exchange, BitMEX from May 29, 2023, will end its Hong Kong-based
users’ access to its website and application programming interface (API)
connections as provided by HDR Global Trading Limited, the operator of BitMEX. In
its place, BitMEX said it will automatically transfer the users’
accounts to its new Hong Kong entity, HDR BMEX Limited.
As a
result, after May 29, the crypto exchange’s platform will only be accessible to
users in Hong Kong through a mobile app dedicated to the jurisdiction. In other
words, new Hong Hong users will not be accepted by the existing platform.
BitMEX announced the new development on Monday, noting that
users’ account balances not withdrawn before the deadline will be transferred to
the new entity. However, the exchange pointed out that the new mobile
app is still under testing and will be available “very soon.”
“Verified
Hong Kong Users will not be required to complete any additional verification or
KYC checks, but will have to use the new BitMEX Hong Kong mobile app to access
the services,” BitMEX said. “All Hong Kong user funds will continue to remain safe,
secured by our market leading custody and security practices.”
BitMEX
Prepares for Hong Kong’s New Crypto Regime
According
to BitMEX, the change in its operation in Hong Kong is in preparation for the
upcoming virtual asset service provider (VASP) regime in Hong Kong. Additionally, the move is part of the exchange’s plan “to continue providing services to Hong Kong
Users during the transitional period before any licence application is
approved.”
In October
last year, Hong Kong published a statement on the regulation of the country’s cryptocurrency market, indicating that it wants to introduce traditional finance laws to crypto
exchanges. In March, Christian Hui, the Secretary for Financial Services and
the Treasury in Hong Kong disclosed that the new regime should
come into effect in June 2023.
On top of that, Christian revealed that more than 80 foreign and Mainland China crypto companies,
including crypto exchanges and blockchain infrastructure providers, had
expressed an interest in establishing a branch in Hong Kong and obtaining local
licenses. He added that 23 of those firms were already working to build their
local presence in the Chinese special administrative region.
“We fully
support the efforts of Hong Kong’s Securities and Futures Commission (SFC) to
help establish appropriate standards for digital assets that will
underpin the advancement of this rapidly growing asset class,” BitMEX noted.
Meanwhile,
while experts believe that Hong Kong’s new crypto regulations present several
opportunities to the digital asset industry, they also come with
some risks, including
the potential for increased market volatility.
BUX Zero rebrands; XTB MENA adds shares trading; read’s today’s news nuggets.
The cryptocurrency
derivatives exchange, BitMEX from May 29, 2023, will end its Hong Kong-based
users’ access to its website and application programming interface (API)
connections as provided by HDR Global Trading Limited, the operator of BitMEX. In
its place, BitMEX said it will automatically transfer the users’
accounts to its new Hong Kong entity, HDR BMEX Limited.
As a
result, after May 29, the crypto exchange’s platform will only be accessible to
users in Hong Kong through a mobile app dedicated to the jurisdiction. In other
words, new Hong Hong users will not be accepted by the existing platform.
BitMEX announced the new development on Monday, noting that
users’ account balances not withdrawn before the deadline will be transferred to
the new entity. However, the exchange pointed out that the new mobile
app is still under testing and will be available “very soon.”
“Verified
Hong Kong Users will not be required to complete any additional verification or
KYC checks, but will have to use the new BitMEX Hong Kong mobile app to access
the services,” BitMEX said. “All Hong Kong user funds will continue to remain safe,
secured by our market leading custody and security practices.”
BitMEX
Prepares for Hong Kong’s New Crypto Regime
According
to BitMEX, the change in its operation in Hong Kong is in preparation for the
upcoming virtual asset service provider (VASP) regime in Hong Kong. Additionally, the move is part of the exchange’s plan “to continue providing services to Hong Kong
Users during the transitional period before any licence application is
approved.”
In October
last year, Hong Kong published a statement on the regulation of the country’s cryptocurrency market, indicating that it wants to introduce traditional finance laws to crypto
exchanges. In March, Christian Hui, the Secretary for Financial Services and
the Treasury in Hong Kong disclosed that the new regime should
come into effect in June 2023.
On top of that, Christian revealed that more than 80 foreign and Mainland China crypto companies,
including crypto exchanges and blockchain infrastructure providers, had
expressed an interest in establishing a branch in Hong Kong and obtaining local
licenses. He added that 23 of those firms were already working to build their
local presence in the Chinese special administrative region.
“We fully
support the efforts of Hong Kong’s Securities and Futures Commission (SFC) to
help establish appropriate standards for digital assets that will
underpin the advancement of this rapidly growing asset class,” BitMEX noted.
Meanwhile,
while experts believe that Hong Kong’s new crypto regulations present several
opportunities to the digital asset industry, they also come with
some risks, including
the potential for increased market volatility.
BUX Zero rebrands; XTB MENA adds shares trading; read’s today’s news nuggets.