Bitget, a cryptocurrency trading platform, has canceled its plans to apply for a Hong Kong Virtual Asset Trading Platform (VATP) license, citing concerns about the market and business.
Bitget formally announced on November 13 that BitgetX, its Hong Kong division, which can be reached at BitgetX.hk, will close on December 13, 2023.
According to the announcement, Bitget will have to permanently leave the Hong Kong market because it chose not to apply for a VATP license.
Users are highly encouraged by the company to remove their cryptocurrency assets from BitgetX by December 13th. The statement stated, “After this date, you will not be able to manage or access your assets on BitgetX, and the BitgetX website will no longer be accessible.”
Bitget stressed that customers won’t be allowed to trade their assets on the platform right away, as there will only be withdrawals accessible. The announcement stated that as of Nov. 13, the exchange will no longer be accepting new users.
According to CoinGecko data, Bitget, a prominent global cryptocurrency exchange, was established in 2018 and trades close to one million coins every day. The exchange’s Hong Kong branch has consistently reaffirmed its intention to secure the VATP license following the new crypto framework implemented by the Securities and Futures Commission of Hong Kong in June 2023.
The information was released on November 13 when OSL, one of the first cryptocurrency exchanges to obtain a Hong Kong crypto license, announced that stock market trading would be suspended. Trading of OSL shares on the Hong Kong Stock Exchange was suspended by the exchange.
Trade their assets on the platform right away, as only withdrawals will be processed by Kong upon request from BC Technology, the platform’s operator.
Industry insiders claim that there has been speculation that Bitget has bought out or made investments in the OSL company. According to reports, OSL operator BC Technologies evaluated selling the OSL exchange in October for a price of $1 billion Hong Kong dollars, or $128 million.