Crypto News – The world’s largest cryptocurrency exchange, Binance, may not be able to obtain a crypto license in Hong Kong due to growing regulatory obstacles.
Binance Hong Kong License in Jeopardy After CZ’s Announcements
The founder of Binance, Changpeng Zhao, recently entered a guilty plea to US anti-money-laundering legislation, which has clouded the exchange’s efforts to obtain a license there. Elizabeth Wong, Director of Licensing and Head of the Fintech Unit at Hong Kong’s Securities and Futures Commission (SFC), poses important queries regarding Binance’s possible license acceptance while the industry observes this unfolding tale.
Wong talked about the impending issue of Binance’s licensing in Hong Kong in a recent podcast held by Web3 Harbour. Wong indicated a lack of knowledge regarding Binance’s market entry strategy and structure when questioned about the potential in light of Binance’s guilty plea in the US.
Binance Says HKVAEX Is Not Part of Its Group of Companies
Shared resources and strong ties to Binance may complicate issues, even though its supposedly local partner, HKVAEX is getting ready to apply for a cryptocurrency license. SEC’s strict guidelines are cited by experts, who also stress that applicants must show that they are in conformity with anti-money laundering legislation.
In response to allegations made last month that Binance established HKVAEX in order to obtain a license in Hong Kong, HKVAEX asserted that it operates as an independent digital asset exchange. Binance further stated that HKVAEX is not a part of its group of companies.
Leave a comment