Crypto exchange giant OKX will shut down its digital asset trading services in Hong Kong at the end of the month.
OKX say it decided to withdraw its application for a license for a virtual asset trading platform in Hong Kong “after careful consideration of the business development prospects.”
The exchange will stop offering trading services on May 31, although its customers can still withdraw funds. OKX’s self-hosted web3 wallet will also continue to provide services to customers.
OKX is one of them ten crypto exchanges who have withdrawn their application for a license for a trading platform in the special administrative region.
The Justin Sun-affiliated trading giant HTX also withdrew its application at the end of February. The Seychelles-headquartered exchange reapplied shortly after, but withdrew its application earlier this month, according to a report from the South China Morning Post (SCMP).
The special administrative region’s financial regulator, the Securities and Futures Commission (SFC), has done so so far licensed only two crypto trading platforms, although 18 other exchanges are awaiting decisions on their applications.
Hong Kong launched new rules for crypto exchanges last June. Some digital asset stakeholders have argued that they pose a burden on trading platforms, according to an SCMP report.
OKX, which is also headquartered in the Seychelles, is currently the third largest crypto exchange in terms of 24-hour trading volume, behind only Binance and Bybit, according to Coin gecko.
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