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    Qadir Ak is the founder of Coinpedia. He has over a decade of experience writing about technology and has been covering the blockchain and cryptocurrency space since 2010. He has also interviewed a few prominent experts within the cryptocurrency space.

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  • 2 minutes read

SHOCKING! Binance-Linked Crypto Exchange HKVAEX Shuts Down

Story Highlights
  • HKVAEX, a Hong Kong crypto exchange possibly linked to Binance, is shutting down permanently.

  • HKVAEX withdrew its application for a Hong Kong crypto license in March 2024.

  • Reasons are unclear but could be due to regulatory pressure.

Well, who could have seen this coming?!

In a surprising turn of events, the Hong Kong-based cryptocurrency exchange, HKVAEX, has abruptly closed its doors, sending shockwaves through the digital currency community. Suspected of having ties to Binance, HKVAEX announced its permanent closure, prompting all users to withdraw their assets before April 30.

Shocked? Read on for more information.

So… What’s Going On?

HKVAEX had submitted a license application to the Hong Kong Securities and Futures Commission (SFC) on January 4, 2024, only to withdraw it on March 28, sparking speculation about the exchangeโ€™s future.

Journalist Colin Wu suggests possible reasons for the withdrawal, including demands for changes in the audit process or incomplete application materials.

The closure comes as the SFC imposed a deadline of February 29 for all crypto exchanges to apply for licenses in Hong Kong. Initially, HKVAEX, reportedly linked to Binance, had applied on January 4.

Also Read: Hong Kong SFC Tightens Crypto with New Licensing Regime: Whatโ€™s Next?

Phased Closure: A Detailed Timeline

The closure comes as the SFC imposed a deadline of February 29 for all crypto exchanges to apply for licenses in Hong Kong. Initially, HKVAEX, reportedly linked to Binance, had applied on January 4.

In an official statement, HKVAEX confirmed the phased suspension and closure of its platform services. Key details of the announcement include:

Immediate Service Suspension: HKVAEX ceased new user registrations and virtual asset deposit services with immediate effect.

Trading Service Closure: Trading services will be terminated on April 5, 2024, at 23:59 UTC+8. All existing spot orders will be automatically canceled, and users will be unable to place new orders.

Website Delisting: The official HKVAEX website will be delisted on May 1, 2024, rendering it inaccessible to users.

Post-Delisting Support: Following the website delisting, users can seek assistance with asset withdrawals or other issues by contacting the support team via email.

For a smooth closure, HKVAEX urges all users to take immediate action by withdrawing their assets before April 30, 2024, emphasizing the importance of timely asset retrieval.

HKVAEX-Binance Connection

The closure of HKVAEX has raised concerns within the crypto community regarding its ties to Binance and the reasons behind its sudden closure.

While reports suggested Binance supported HKVAEXโ€™s bid for a crypto license in Hong Kong, the recent withdrawal of the application has left many questions unanswered. A Binance representative clarified that HKVAEX is not affiliated with the Binance Group.

This development occurs as other major applicants are also withdrawing their license applications. Currently, OSL and HashKey are the only platforms approved for licenses by the SFC.

Also Read: Binance Executive Takes Legal Stand Against Nigerian Government

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