Major crypto derivatives exchange Bybit has decided to cease offering its products and services to customers in Canada, with the company stating that it would leave the Canadian market.
Bybit informed new and existing users in Canada that the company would no longer be operational in the country. According to a blog post, the crypto derivatives exchange was leaving Canada “in light of recent regulatory development.”
Canadian regulators in February 2023 introduced new rules mandating crypto firms to make commitments to protect investors through “an enhanced pre-registration undertaking.” Companies were expected to provide the undertaking within 30 days or cease operating in Canada.
“As the adoption of crypto continues to grow, our mission is to provide safer and sustainable trading experience to all crypto enthusiasts while maintaining necessary safeguards. We apologize for any inconvenience this may cause, and appreciate your continued support.”
Excerpt from Bybit announcement
Bybit said it would not accept new users from May 31, while existing customers cannot make deposits, increase their positions or enter new contracts from July 31, except to withdraw or reduce their positions. Meanwhile, by Sept. 30, customers are advised to wind down their positions to avoid liquidation.
More crypto firms exiting the Canadian market
As previously reported by crypto.news, Bybit received in-principle approval from Kazakhstan regulators. The platform, headquartered in Dubai, also launched a crypto lending service for its users.
Meanwhile, Bybit’s exit from Canada is the latest in a list of crypto companies leaving the Canadian market for similar reasons. Crypto firms such as Binance, dYdX, OKX, and Paxos have announced plans to stop servicing users in the country.
