Crypto exchange HashKey said it would end support for Binance-related transactions next month.
On April 19th rackthe Hong Kong-based crypto trading platform stated that it would limit Binance deposits starting May 10 and end support for virtual asset withdrawals to Binance-hosted wallet addresses by May 17.
However, virtual asset transactions to whitelisted unhosted wallet addresses remain unaffected. These addresses are verified and authenticated by the exchange.
HashKey attributed its decision to “a change in its policies,” but did not provide additional details about the new rules.
In December 2023, HashKey ended support for crypto deposits from all third-party exchanges except Binance. At the time, the exchange announced that it would only accept Binance deposits over HKD 8,000, subject to specific guidelines.
HashKey Exchange is one of the few licensed exchanges in Hong Kong and caters to both institutional and retail investors.
Binance regulatory issues
HashKey’s decision exacerbates Binance’s problems in several jurisdictions.
Last month, an entity linked to Hong Kong’s Richard Teng crypto trading platform, HKVAEX, abruptly shut down its operations and withdrew its license application.
Amid the drama, Nigerian authorities arrested two of the platform’s executives and accused the exchange of exacerbating currency problems.
However, Binance has recently adopted a compliance-first approach and made significant progress in its regulations, especially in India and Dubai.
The progress of HashKey
Over the past month, HashKey has made remarkable progress in its operations.
On April 15, HashKey Capital said it had received regulatory approval to launch a Bitcoin Exchange Traded Fund (ETF) with Bosera International.
This is what a spokesperson for the platform says CryptoSlate that the Hong Kong Securities and Futures Commission (SFC) has approved the upgrade of its existing license 9 to enable it to offer virtual asset fund product services to retail investors.
Previously, the company had unveiled a global crypto trading platform that was licensed in Bermuda to offer digital asset trading services. This platform will be active in many countries, with the exception of China and the United States.