Bitget, a digital asset exchange, has recently revealed its intention to withdraw from the Hong Kong market by December 13, 2023. The decision is based on specific business apprehensions.
The company has just communicated through a press release on November 13 that it will exit the market in Hong Kong within the next month. As a result, its local entity, BitgetX.hk, will be shutting down operations and providing users with guidance on their future course of action.
Bitget has renounced its pursuit of a Virtual Asset Trading Platform (VATP) license in the nation, citing undisclosed business conditions as the primary culprit, as stated in the announcement.
Funds must be withdrawn before the deadline
In the jurisdiction, the company expressed its concern over the absence of a license that prohibited it from providing crypto and financial services. Furthermore, the press release addressed potential inquiries from users that could arise as a result of this recent development.
By December 13, 2023, all users will need to remove their assets as the website will not be accessible and managing these assets will not be possible anymore. Failure to withdraw funds before the deadline will result in the user losing their funds unless further announcements are made.
Bitget recently made an official announcement on November 13, revealing their plans to bid farewell to the Hong Kong market within the next thirty days. As a result, their local entity, BitgetX.hk, will be closing its doors and helping users navigate their next steps.
Bitget’s decision to withdraw from the Hong Kong market stems from specific business concerns that have not been disclosed in the press release. It appears that the company had been pursuing a Virtual Asset Trading Platform (VATP) license in Hong Kong but has now chosen to abandon this pursuit. Without this license, Bitget is unable to offer crypto and financial services in the jurisdiction, leading them to reassess their operations in Hong Kong.
From this point forth, there shall be no trading accessible to users, and the company shall decline new users. Although there are unanswered aspects yet, the team has assured its commitment to aid users in every detail.
Is the Hong Kong market currently facing dire straits?
This year, Hong Kong has successfully proved itself to be the largest investment hub for digital assets, improving local regulation laws. The nation has witnessed a surge in various digital asset and web3 companies channelling their investments, catering to both retail and wholesale clientele, thereby augmenting the country’s financial landscape.
Bitget, one of the many cryptocurrency companies, has indicated interest in expanding its operations in Hong Kong. This intention emerged shortly after the company participated in the Hong Kong Virtual Asset Consortium (HKVAC). The consortium not only offers web3 firms with rating services but also provides various other valuable services.
Bitget reaffirmed its commitment to obtaining the VATP license after the relocation, emphasizing its unwavering dedication to cultivating a secure and regulatory-compliant environment for the worldwide marketplace of digital assets. Moreover, they expressed a distinct emphasis on fostering the growth of the Web3 industry in Hong Kong.
OSL, a digital asset exchange licensed in Hong Kong, has recently suspended stock market trading, catching the attention of multiple market observers. There are whispers among users that Bitget, possibly influenced by reports of the exchange being up for sale in October, might have invested in OSL.
Frequently Asked Questions:
1. Why did Bitget leave Hong Kong?
Bitget, prompted by undisclosed business anxieties, has recently made a momentous decision to withdraw from the Hong Kong market. The release of a statement explained that these concerns played a pivotal role in the abandonment of Bitget’s pursuit for a Virtual Asset Trading Platform (VATP) license within the nation.
2. What is the anticipated timeline for Bitget’s discontinuation of operations in Hong Kong?
By December 13, 2023, Bitget intends to cease its operations in Hong Kong. To avoid any inconvenience, users are strongly recommended to withdraw their assets from the platform before the specified date, as all access to asset management will be restricted thereafter.
3. If users fail to withdraw their funds within the stipulated deadline, what will occur?
Bitget states that users should withdraw their funds before the given deadline of December 13, 2023, to avoid losing them until further notice. It is imperative that users promptly finalize the withdrawal process.
4. Is it still possible for users in Hong Kong to engage in trading on Bitget?
From the announcement onwards, trading and new user registration on Bitget within Hong Kong will be prohibited.
5. What kind of support can Bitget offer its users as they navigate through this transition?
Although specific information is still undisclosed, Bitget has made a promise to users that it will provide full support in terms of necessary details and steps for asset withdrawal.
6. Can the decision made by Bitget be attributed to the current condition of Hong Kong’s market?
Bitget has chosen to remain tight-lipped about its motives, yet its recent stance coincides with a mounting conjecture regarding hurdles encountered within Hong Kong’s digital asset market. Nevertheless, Bitget’s original aspiration to expand in Hong Kong had harmonized with the burgeoning reputation of the region as a thriving hub for digital assets.
7. Was there ever a consideration by Bitget to obtain a VATP license in Hong Kong in the past?
Bitget had initially communicated its commitment to securing a VATP license in Hong Kong, displaying a strong determination to facilitate a safe and regulated digital asset ecosystem worldwide. The company’s primary objective revolved around bolstering the Web3 industry in Hong Kong while fostering compliance and security.
8. Does OSL, a Hong Kong-based digital asset exchange, have any connections with Bitget?
Bitget’s purported investment in OSL has sparked widespread conjecture without any official validation. OSL, an early adopter of Hong Kong’s licensing system, temporarily halted its stock market dealings, adding fuel to the speculation flames. Numerous users are ruminating over a conceivable correlation between Bitget and OSL, particularly in light of reports suggesting OSL’s availability for purchase in October.