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Crypto exchanges exit Hong Kong license race ahead of May deadline

Hong Kong is witnessing a significant increase in the number of cryptocurrency companies withdrawing their license applications as the city implements stricter regulatory measures. The Securities and Futures Commission (SFC) has reported a notable rise in withdrawals since the beginning of 2024, reflecting the industry’s reaction to heightened compliance demands.

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Hong Kong is witnessing a significant increase in the number of cryptocurrency companies withdrawing their license applications as the city implements stricter regulatory measures. The Securities and Futures Commission (SFC) has reported a notable rise in withdrawals since the beginning of 2024, reflecting the industry’s reaction to heightened compliance demands.

The SFC’s new regulatory framework, which came into effect this year, imposes rigorous requirements on cryptocurrency businesses, including enhanced anti-money laundering (AML) and know-your-customer (KYC) protocols. These measures are designed to align Hong Kong’s crypto regulations with global standards and ensure greater transparency and security within the industry.

According to industry sources, several firms have found the new compliance obligations challenging, leading them to reconsider their operations in Hong Kong. “The increased regulatory scrutiny and the associated costs of compliance are prompting many companies to withdraw their applications or relocate to more favorable jurisdictions,” said a spokesperson from a leading blockchain consultancy.

The SFC’s tighter regulations aim to protect investors and maintain financial stability. However, they have also sparked concerns about the potential impact on Hong Kong’s status as a global cryptocurrency hub. Some industry experts warn that overly stringent regulations could drive innovation and business activity away from the region.

In response to these concerns, the SFC has emphasized its commitment to fostering a balanced regulatory environment that supports innovation while ensuring robust investor protection. “We are dedicated to creating a regulatory framework that strikes the right balance between fostering innovation and ensuring market integrity and investor protection,” an SFC representative stated.

Despite the challenges, some companies remain optimistic about the future of cryptocurrency in Hong Kong. They believe that a well-regulated market could enhance investor confidence and attract more institutional participation in the long term.

In conclusion, the increase in crypto license withdrawals in Hong Kong highlights the challenges posed by the city’s new regulatory framework. While these measures aim to enhance transparency and security, they also underscore the need for a balanced approach to regulation that supports both innovation and investor protection.

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Bitcoin price risks drop to $71K as Trump tariffs hurt US business outlook

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Bitcoin is setting its sights on the $71,000 mark as market conditions shift in response to geopolitical and economic developments, including a new tariff agreement and weakening U.S. business sentiment.

Recent market activity suggests that Bitcoin is benefiting from concerns over traditional economic indicators, with investors turning to digital assets as a hedge against economic uncertainty. A rare slump in U.S. business outlook has fueled speculation that risk assets, including Bitcoin, could see increased inflows.

Additionally, ongoing global trade negotiations and tariff adjustments have contributed to market volatility, prompting investors to seek alternative stores of value. Analysts suggest that if macroeconomic pressures persist, Bitcoin could continue its upward trajectory, potentially testing the $71,000 resistance level.

Despite short-term fluctuations, Bitcoin remains a focal point for investors navigating inflation concerns, regulatory shifts, and global economic trends. The coming weeks will be critical in determining whether Bitcoin can sustain its momentum and break through key price barriers.

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Crypto donations top $1B in 2024, gain traction after Myanmar, Thailand quake

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Changpeng “CZ” Zhao, the former CEO of Binance, has donated 1,000 BNB to aid relief efforts following a powerful earthquake that struck the Thailand-Myanmar border region. The donation, valued at approximately $600,000, aims to support those affected by the disaster and assist in recovery operations.

The earthquake caused significant damage in several areas, displacing residents and impacting local infrastructure. CZ’s contribution highlights the growing role of cryptocurrency in humanitarian aid, providing fast and transparent relief funding.

The donation will be distributed to organizations working on the ground to deliver emergency assistance, including shelter, food, and medical supplies. Crypto-based aid is increasingly being utilized in disaster response efforts due to its efficiency in reaching affected communities without the delays of traditional banking systems.

As the affected regions begin the recovery process, the crypto community continues to demonstrate how blockchain technology can play a meaningful role in global humanitarian initiatives.

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Hackers are selling counterfeit phones with crypto-stealing malware

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Security researchers have uncovered a wave of counterfeit Android devices preloaded with malware designed to steal cryptocurrency, posing a significant threat to users worldwide. The infected devices, which mimic popular smartphone brands, contain malicious software capable of hijacking digital wallets and siphoning funds.

The malware, embedded at the firmware level, allows attackers to gain remote access, intercept sensitive data, and execute unauthorized transactions. Because the malicious code is deeply integrated into the device’s operating system, it is difficult to detect and remove, making it a persistent threat.

Cybersecurity experts warn that unsuspecting buyers may unknowingly expose their crypto holdings to risk by purchasing these compromised devices from unverified sellers. Users are urged to exercise caution by only purchasing smartphones from trusted retailers and manufacturers.

The discovery highlights the growing sophistication of cybercriminals targeting the cryptocurrency sector. As mobile-based crypto transactions become more common, security measures such as hardware wallet usage and multi-factor authentication are increasingly essential to safeguard digital assets from emerging threats.

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