Binance, the biggest cryptocurrency alternate by buying and selling quantity, is reportedly backing HKVAEX, a Hong Kong-based cryptocurrency buying and selling platform, to safe an area crypto license within the area, the South China Morning Publish (SCMP) reported on Oct. 25.
HKVAEX was established in Dec. 2022 as a separate entity however reportedly shared sources with Binance.
HKVAEX knowledgeable SCMP that it’s an unbiased platform with a devoted group that manages it. The platform is presently within the strategy of in search of a license to function as a cryptocurrency buying and selling platform.
However, a Binance spokesman said that HKVAEX had no affiliation with the Binance Group of firms.
Binance and HKVAEX have but to answer to CryptoSlate’s request for remark as of press time.
In latest months, quite a few cryptocurrency exchanges, together with OKX, have proven curiosity in increasing to Hong Kong following the introduction of latest regulations allowing licenses for retail buying and selling. Regardless of this pattern, Binance has not disclosed its intentions concerning buying such a license within the area.
Binance regulatory struggles
Binance continues to face heightened regulatory scrutiny over its operations throughout a number of jurisdictions globally.
Within the U.S., the Changpeng Zhao-led agency faces authorized expenses from the Securities and Alternate Fee (SEC) and Commodity Futures Buying and selling Fee (CFTC) over its violations of federal legal guidelines. Moreover, the Division of Justice (DOJ) is reportedly weighing expenses in opposition to the alternate.
Throughout the Atlantic, the cryptocurrency buying and selling firm has withdrawn from various European markets, such because the Netherlands and Cyprus, on account of challenges in acquiring native licenses.
Along with these regulatory considerations, Binance has lately experienced a collection of exits from its senior management group.
Regardless of these points, the alternate has maintained that it strives to stay compliant with native legal guidelines wherever it operates.