Crypto.com to end Hong Kong consumer app services as licensing review continues

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Crypto.com Hong Kong app exit

Highlights

Crypto.com will shut down its Hong Kong consumer app, notifying customers to close accounts and withdraw funds due to regulatory changes.
Foris DAX HK Limited, operating under Crypto.com, applied for a Hong Kong VATP license on Feb. 9, 2024, but remains only 'deemed-to-be-licensed.'
Crypto.com continues to pursue approval for its institutional-grade Exchange platform in Hong Kong, reflecting differentiated strategies amid evolving regulations.

Hong Kong shutdown and licensing timeline

As reported by Cointelegraph, citing Bloomberg, Crypto.com confirms that affected Hong Kong customers have been notified about the consumer app shutdown and will receive instructions for closing accounts and withdrawing funds.

Local outlet HK01 says the company cites regulatory changes in emails sent to users in Hong Kong. The consumer app operates under Foris DAX MT Limited, while Foris DAX HK Limited is separately pursuing a virtual asset trading platform, or VATP, license in Hong Kong.

According to the Securities and Futures Commission's public register, Foris DAX HK Limited submits its VATP license application on Feb. 9, 2024. Nearly three years later, the entity remains listed as "deemed-to-be-licensed," a transitional category rather than full approval.

Crypto.com says it continues to pursue approval for its institutional-grade Crypto.com Exchange platform in Hong Kong.

Regulatory pressure shapes crypto market access

The decision highlights how Hong Kong's regulatory framework continues to reshape access to crypto services for retail and institutional users differently. While the consumer app is being withdrawn, the company is keeping its institutional strategy in place through the pending exchange application.

The split approach suggests firms in the sector are adjusting product offerings by entity and customer type as licensing reviews continue. Hong Kong remains an important digital asset market, but operators still face approval timelines and compliance demands before expanding regulated services.

Our earlier article on Malaysia’s coordinated enforcement against foreign product entry outlined the government’s plan to tighten oversight as digital trade expands and competition intensifies for local SMEs. We noted the creation of an inter-ministerial working committee, progress toward an e-Commerce Bill, and related initiatives such as standardising the “Jom Beli Produk Malaysia” logo and funding to help SMEs reach digital platforms and overseas markets.

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