BitMEX Launches Dedicated Crypto Service for Hong Kong Customers, Seeks License in the City

Crypto exchange BitMEX announced yesterday the launch of BitMEX Hong Kong – a dedicated service, as the exchange looks to apply for a licence under the Hong Kong Virtual Asset Service Provider (VASP) regime.

BitMEX Hong Kong will operate under the transitional arrangement, created in order to prepare for the Hong Kong VASP regime. The introduction was prompted by the changing regulatory environment in Hong Kong, noted BitMEX.

"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," said BitMEX in an announcement.

From 29 May 2023, existing BitMEX users who are domiciled in Hong Kong will not be able to access the services provided by HDR Global Trading Limited through the existing BitMEX website or API connections. The local customers will be transferred to the company's affiliated Hong Kong entity, HDR BMEX Limited, with effect from 29 May 2023 which will provide BitMEX's new, Hong Kong-only service solely through the BieMEX Hong Kong mobile app. 

The local users will continue to be able to make withdrawals from the BitMEX trading platform before 29 May 2023. Thereafter, any remaining account balance will be transferred to BitMEX Hong Kong accounts.

"All Hong Kong User funds will continue to remain safe, secured by our market leading custody and security practices," added the firm.

Furthermore, as of 29 May 2023, the existing BitMEX trading platform will not be accepting any new Hong Kong Users. From that date onwards, Hong Kong Users will only be able to open an account with BitMEX Hong Kong through the dedicated BitMEX Hong Kong mobile app.