The world’s fifth largest crypto exchange platform by traded volume per day plans to drop its Hong Kong location and move to Switzerland, according to Handelszeitung.
From confirmed sources, it’s known that the Bitfinex team is currently conducting a series of discussions with the governmental authorities based in Switzerland. According to Handelszeitung, the Bitfinex’s CEO, Jean-Louis van der Velde stated that “We are looking for a new home for Bitfinex and the parent company iFinex, where we want to merge operations previously spread over several locations.“
Also, Van der Velde added that another option as a new position was London, but after countless of researches and opinions, they decided to opt mainly for Switzerland.
iFinex, the parent company, will create a new AG or Aktiengesellschaft
In case the parent company iFinex faces the new challenges and obtains approval from the Swiss authorities, it will launch a new AG or Aktiengesellschaft, which in German means a “public company” in order to take the place of the iFinex based in the British Virgin Islands. It’s supposed that the main partners will settle in Switzerland, while Boarding Directors may move to the island.
In addition, iFinex is the parent company of the Tether platform, which links its tokens to the US dollar (USDT). Thus, tokens of this platform are traded on various stock exchanges, including Bitfinex. Since April 2017, Bitfinex and Tether were excluded from the US and Taiwan banking markets, being forced to relocate to other countries.
Both Bitfinex and Switzerland will benefit from this relocation
The CEO of Bitfinex, Van der Velde describes the new move as a challenge but also as a new opportunity. He hopes that through the new location, the company will focus more on the transparency of the business. “We want to be the most transparent of all exchanges and meet the requirements of the Swiss regulator” said Van der Velde.
Switzerland is especially recognized for the city of Zug, which is often compared to “Crypto Valley“, being the home place for several crypto platforms. Moving to Switzerland would bring many benefits to Bitfinex. Switzerland will also benefit from this move by attracting new investors in blockchain technology and not only.
Bitfinex is not the first crypto trading platform that plans to leave Hong Kong. As previously reported on Coindoo.com, the world’s largest crypto exchange by traded volume (Binance) is looking to move to Malta. Unfortunately, for many companies based in China, the legal regulations have become stricter and impossible to be respected by many platforms. This aspect forces some of them to move to more permissive regions.