Bybit is the most recent cryptocurrency exchange to leave Canada, blaming “recent regulatory developments.”
Bybit informed Canadians in a blog post on Tuesday that the organization would no longer be able to register accounts on its platform as of Wednesday, May 31. Additionally, after July 31 existing Canadian Bybit users won’t be able to trade or make deposits. Bybit advised customers to sell their holdings before September 30.
This comes as several other cryptocurrency exchanges depart Canada due to the country’s regulatory situation. Binance, OKX, Paxos, dYdX, and Bittrex are a few notable exits to date.
The majority of them agree with the Canadian Securities Administrators’ call for cryptocurrency trading platforms to start the registration procedure with them or stop operating.
Firms are required to accept segregation in crypto custody as part of the CSA’s “pre-registration undertakings” and to have a chief compliance officer on staff. Additionally, users must not be permitted to trade or hold stablecoins, and leveraged trading must be stopped.
Rejecting such criteria, which were due by March 23, many businesses that hadn’t already registered with the state have simply elected to depart the country.
Some exchanges, however, have committed to success in a Canadian market is regulated, thus not all have taken the same route.
On March 24, Coinbase Canada signed a pre-registration undertaking (PRU) in which it promised to cooperate with Canadian regulators to create a robust “regulatory framework.”
Kraken, like Coinbase, had no intention of giving up on the Canadian market. Kraken said that it had also submitted a PRU to authorities on March 30.
As one of Canada’s leading cryptocurrency exchanges with a local presence, BitBuy was included in the regulatory framework before Coinbase, Kraken, and Gemini.
Like many companies on the list, this cryptocurrency exchange, with its headquarters in Montreal, Canada, submitted a PRU to the CSA on March 24.