Crypto.com to shut Hong Kong consumer app as exchange licence remains pending

Crypto.com has announced plans to discontinue its consumer app services in Hong Kong from Feb. 1, 2027, while continuing to pursue regulatory approval for its institutional exchange.

Summary

• Crypto.com will discontinue its consumer app services in Hong Kong from Feb. 1, 2027, while continuing to pursue regulatory approval for its institutional exchange.
• Affected customers have been notified of the shutdown and will receive instructions on how to close their accounts and withdraw their remaining funds.
• The company cited regulatory changes in notices sent to Hong Kong users, although it has not publicly detailed the specific changes behind the decision.
• Foris DAX HK Limited’s exchange license application has remained pending since February 2024, with the entity still operating under a transitional regulatory status.

According to a Nov. 2 Bloomberg report, the cryptocurrency exchange confirmed that affected customers had been notified of the decision and would receive instructions on closing their accounts and withdrawing their remaining funds.

Local news outlet HK01 reported that Crypto.com cited regulatory changes in emails sent to Hong Kong users. The company has not publicly identified which specific regulatory changes prompted the decision.

The consumer app is operated by Foris DAX MT Limited, while a separate entity, Foris DAX HK Limited, is responsible for the company’s application to operate its institutional-grade Crypto.com Exchange in the city.

What happens to Crypto.com users in Hong Kong?

Customers affected by the closure are expected to receive further instructions directly from Crypto.com about the steps required to withdraw their assets and close their accounts.

The company has not publicly specified whether individual products will become unavailable before Feb. 1 or whether different services will have separate withdrawal deadlines.

Users who still hold cryptocurrencies or other balances in the app can review the instructions provided through their registered email accounts and official app notifications. Crypto.com maintains a Help Centre where customers can access account assistance and information about supported withdrawal procedures.

The announcement does not establish a separate deadline for completing withdrawals, and customers have not been told that every account must be emptied by a particular date before the shutdown.

Crypto.com has not announced any changes to the status of assets held by customers outside Hong Kong as part of this decision.

Crypto.com remains among Hong Kong’s unapproved exchange applicants

The SFC’s official list of virtual asset trading platforms shows that Foris DAX HK Limited submitted its licence application on Feb. 9, 2024.

As of November 2026, the application has remained pending for approximately two years and nine months, with the entity classified as “deemed-to-be-licensed” under Hong Kong’s transitional arrangements.

The designation applies to eligible operators that were already conducting virtual asset trading business before the city’s licensing regime began in June 2023 and subsequently met the conditions to continue operating while their applications were assessed.

According to the SFC, the status does not constitute formal regulatory approval, and applicants may still be refused a licence or required to cease operations.

A review of the regulator’s public register shows that Crypto.com is not alone in awaiting a final decision. WhaleFin, operated by Whalefin Markets Limited, remains another deemed-to-be-licensed applicant, having submitted its application on Feb. 21, 2024.

Other applicants listed by the regulator include HighBlock Limited, Nebulas Hong Kong Limited and Spark Fintech Limited, the entity associated with Bybit’s Hong Kong application.

The register separately identifies companies that have secured licences, including OSL Digital Securities, Hash Blockchain Limited, Victory Fintech Company Limited and NewBX Limited.

Hong Kong’s licensing regime has forced several exchanges to withdraw

Hong Kong introduced mandatory licensing for centralised virtual asset trading platforms on June 1, 2023, under the Anti-Money Laundering and Counter-Terrorist Financing Ordinance.

The SFC’s transitional rules required eligible existing operators to submit their applications by Feb. 29, 2024, to qualify for temporary permission to continue operating.

The regulator subsequently ended the transitional non-contravention period on June 1, 2024, leaving only formally licensed platforms and qualifying deemed-to-be-licensed applicants permitted to operate under the framework.

Several major cryptocurrency companies withdrew their applications during the licensing process.

According to the SFC’s historical application records, OKX Hong Kong FinTech Company Limited withdrew its application on May 24, 2024. Gate Digital Limited, which operated under the Gate.HK name, withdrew its application on May 22 of the same year.

More recently, Flying Hippo Technologies Hong Kong Limited, associated with Matrixport HK, withdrew its application on Oct. 12, 2026.

The SFC distinguishes withdrawn applications from rejected applications in its public records, and a withdrawal does not necessarily mean the regulator found that the applicant had violated licensing requirements.

SFC inspections examine customer protection and operational controls

Hong Kong’s regulatory requirements extend beyond the initial licence application, with operators expected to maintain adequate safeguards for customer assets and meet ongoing compliance obligations.

In January 2025, the SFC published findings from inspections of deemed-to-be-licensed virtual asset trading platform applicants, examining their cybersecurity systems, customer asset protection arrangements and identity verification procedures.

The inspections covered operational controls and whether applicants had sufficient qualified personnel, financial resources and technical systems to support their businesses.

Licensed platforms must comply with requirements concerning the custody and segregation of customer assets, cybersecurity risk management, anti-money laundering controls and the prevention of market misconduct.

The regulator has continued issuing warnings about unauthorised cryptocurrency businesses. In earlier coverage, crypto.news reported that the SFC had flagged Aurum Foundation as a suspicious virtual asset trading platform.

Hong Kong has meanwhile continued developing its regulated digital asset market, including proposals for stablecoin trading and tokenised financial products.

The SFC has maintained that investors should consult its official register when checking whether a virtual asset trading platform has received formal approval, warning that applicants operating under transitional arrangements may not ultimately secure a licence.