The largest cryptocurrency exchange in the world, Binance, is the driving force behind a recently launched trading platform in Hong Kong that has declared its plan to apply for a license in the city.
HKVAEX was founded in December 2022, and its trading platform debuted in February. Authorities familiar with the concern have revealed that HKVAEX was established by Binance to pursue a cryptocurrency license in Hong Kong.
Under the company BX Services Limited, HKVAEK was created as a separate entity in Hong Kong. Nonetheless, the individuals stated that the businesses pool resources, and the exchange’s website demonstrates that it uses Binance servers to retrieve content.
HKVAEX is not a part of the Binance Group, as representatives of Binance have made clear. Still, there are doubts about the relationship between the two.
HKVAEX is applying for a license to operate a virtual asset trading platform in Hong Kong with the Securities and Futures Commission, capitalizing on the city’s efforts to attract the cryptocurrency industry with stable legal conditions.
Having a stand-alone location in Hong Kong may allow Binance to capitalize on the expanding cryptocurrency market in the city. On the other hand, Binance has been dealing with more legal issues and demands for liquidity abroad.