Futu and UP Fintech take down trading apps in China to fully comply with CSRC requirements on access to offshore equities
- UP Fintech Holding’s app Tiger International and Futu Holdings’ app Futubull will be removed from app stores in China this week
- Both firms cited compliance with the Chinese Securities and Regulatory Commission as reasons for the China app store removals
Futu Holdings and UP Fintech Holding said they will take down their trading apps in China this week, after the country’s securities regulator in December ordered both firms to stop giving new onshore traders access to global equities, in breach of the nation’s capital controls.
UP Fintech Holding’s app Tiger International and Futu Holdings’ app Futubull will be removed from app stores in China on Thursday and Friday respectively, according to separate statements on Tuesday. Both firms cited compliance with the Chinese Securities and Regulatory Commission (CSRC) as reasons for the removal.
Shares in Nasdaq-listed Futu Holdings and UP Fintech Holding fell 11 per cent and 6.67 per cent respectively in pre-market trading.
“In response to the CSRC’s rectification requirements on cross-border securities business, Futu will remove the Futubull app from app stores in mainland China to bring its operations into full compliance with regulatory principles,” Futu Holdings said in its statement.
It reassured mainland clients that they can still make trades on the app, and that services and operations for existing clients will remain unaffected following removal of the app, which remains available for download and use outside China.
Separately UP Fintech Holding, which operates Tiger Brokers, said it will remove the app to “complete the rectification work with satisfactory results” in response to CSRC requirements.
