HTX Withdraws Crypto License Application in Hong Kong

Cryptocurrency exchange HTX, formerly Huobi Global, has withdrawn its application for a licence to operate in Hong Kong, in a dramatic retreat from its highly publicised plans to win customers in the city after exiting the mainland market.

The Hong Kong operation of HTX, HBGL Hong Kong Limited, withdrew its application for a licence for the virtual asset trading platform Huobi HK on February 23, three days after it submitted an application, according to the Securities and Futures Commission (SFC), which publishes a list of crypto exchange licence applicants on its website.

HTX did not publicly disclose its reason for withdrawal.

Three cryptocurrency exchange operators have withdrawn their applications so far, while one has had its application returned, according to the SFC.

The Beijing-founded exchange – the fifth-largest in the world by 24-hour trading volume, according to data from market tracker CoinGecko – had been one of the biggest companies to submit a licence application in Hong Kong.

HTX first announced its plans to pursue a licence in Hong Kong in February last year through a statement made by its adviser Justin Sun on Twitter, now X. The outspoken crypto entrepreneur said the company would launch a new exchange called Houbi Hong Kong that would be compliant with the city's new regulations.

The withdrawal came just days before a deadline for cryptocurrency exchanges hoping to operate legally in Hong Kong to put in a licence application.

(Source: South China Morning Post)