![]() Interestingly, Binance withdrew its application for a Financial Conduct Authority (FCA) registration earlier. Moreover, the Securities and Commission Exchange’s actions against rival Coinbase have made the future of the other exchanges skeptical in the country.īinance’s Chief Strategy Officer, Patrick Hillmann, recently revealed that the exchange is now considering seeking regulatory permission in the United Kingdom. The US Commodity Futures Trading Commission also filed a legal complaint against the exchange and its CEO for violating an array of local regulations. “We are confident that we will someday return to the market when Canadian users once again have the freedom to access a broader suite of digital assets.”įurthermore, Binance is facing regulatory backlash in the United States. “While we do not agree with the new guidance, we hope to continue to engage with Canadian regulators aimed at a thoughtful, comprehensive regulatory framework,” Binance added. Still, it had ‘sentimental value’ for the exchange giant as its CEO, Changpeng Zhao, is a Canadian national, despite his Chinese descent. ![]() On top of that, Binance highlighted that Canada is a small market. ![]() Gemini, Coinbase, and Kraken were among the top crypto exchanges to file for Canadian registration. However, several exchanges are cementing their positions in the Canadian markets. Big names like Paxos and OKX have already announced their decision to shutter their services for Canadians. See related article: Binance.Last December, the Canadian Securities Administrators (CSA) issued a notice labeling stablecoins as ‘securities and/or derivatives.’ This has prohibited regulated crypto exchanges in the country from offering services with stablecoins, which is a significant part of the industry.įurther, Canada, especially the regulator in the state of Ontario, mandated the registration of all cryptocurrency exchanges operating within the country.īinance, the largest cryptocurrency exchange in trading volume, is not the first to exit Canada. Zhao rejected the CFTC’s allegations, saying the regulator’s complaint “appears to contain an incomplete recitation of facts.” In the U.S., the Commodity Futures Trading Commission (CFTC) sued Binance and Zhao in March, for allegedly offering unregistered cryptocurrency derivatives in the U.S. Those guidelines require crypto trading platforms to follow custody rules, ensure segregation of crypto assets held for local clients and refrain from offering margin, credit or other forms of leverage.įailure to comply would require companies to offload Canadian users and block the jurisdiction. The company added that, while the Canada market is small, “it held sentimental value” as the home country of its founder Changpeng Zhao, who is a Canadian citizen.īinance said it is sending out emails to Canadian users detailing its next steps and how the company’s withdrawal from the country will impact their accounts.īinance’s exit comes after the Canadian Securities Administrators regulatory body said in February that crypto firms planning to operate in Canada must register their compliance with a new set of regulatory guidelines. “Unfortunately, new guidance related to stablecoins and investor limits provided to crypto exchanges makes the Canada market no longer tenable for Binance at this time.” “We had high hopes for the rest of the Canadian blockchain industry,” Binance said in the tweet. But, it said, “it has become apparent that there are none.” regulations Canada Regulators Trading Platform. The company announced in a tweet on Friday that it had put off the exit decision as long as possible in order to explore ways to protect its Canadian users. Canadian Crypto Trading Platforms Face 'Enhanced' Rules Under New Regulations. See related article: Binance.US cites ‘hostile’ regulator, yanks US$1.3 billion deal to buy Voyager Digital Fast factsĪmid heightened regulatory oversight aimed at the crypto exchange in the U.S., Binance has now decided to exit the neighboring Canadian market.
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