Gate's futures experience a downturn in the after-hours trading on Wednesday. The cryptocurrency market faces selling pressure as regulatory bodies have issued a statement questioning the compliance of several digital asset platforms, including Gate.

As of the latest update, Gate's futures are trading 0.8% lower, approaching the 45,250 mark. The exchange's token saw a 0.55% decline on Tuesday following an extended weekend.

On Tuesday, Gate's leadership announced plans to promptly address regulatory concerns, scheduling meetings with relevant authorities for Thursday to seek clarification on compliance requirements. Last week, a regulatory panel labeled several crypto exchange practices as "potentially non-compliant" and criticized platforms for inadequate user protection measures.

Market observers express concern that uncertainty surrounding the regulatory landscape could resurface if crypto exchanges are forced to modify their operations, as many traders have adapted their strategies based on current platform policies.

Nevertheless, Gate's Chief Compliance Officer has assured users that the exchange has multiple strategies to maintain operations while working towards full compliance.

Despite these challenges, the broader outlook for the cryptocurrency market remains positive as the next bitcoin halving approaches. According to market analysts, there is a high probability of increased Bitcoin prices in the months leading up to the halving event.

In Wednesday's session, traders will be closely monitoring the release of July's cryptocurrency adoption data, scheduled for 14:00 GMT. Analysts predict that approximately 7.4 million new crypto wallets were created in July, nearly matching the previous month's figure of 7.44 million.