North America’s Binance is once again facing regulatory hurdles, with the world’s largest cryptocurrency exchange on Friday announcing it would suspend operations in Canada following tightened crypto regulations.
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quick facts
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middle Increased regulatory oversight US-targeted cryptocurrency exchange Binance has decided to exit the neighboring Canadian market.the company announced Tweet The company said on Friday it was delaying its exit decision for as long as possible as it explored ways to protect its Canadian users. However, he said, “it turned out not to exist.”
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“We had high hopes for the rest of the Canadian blockchain industry,” Binance said in a tweet. “Unfortunately, due to the new guidance provided to crypto exchanges regarding stablecoins and investor restrictions, the Canadian market is no longer sustainable for Binance at this time.”
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The company added that while the Canadian market is small, it has “sentimental value” as the home country of founder Chao Changpeng, a Canadian citizen.
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Binance said it has sent Canadian users an email detailing next steps and how the withdrawal from the country will affect their accounts.
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Binance Exit Comes After Canadian Securities Administrators Regulatory Authority Said In February, a cryptocurrency company planning to operate in Canada register Compliance with a new set of regulatory guidelines.
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These guidelines require cryptocurrency trading platforms to follow custody rules, ensure segregation of crypto assets held for local clients, and refrain from providing margin, credit or other forms of leverage. increase.
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Failure Compliance requires companies to offload Canadian users and block jurisdictions.
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In the United States, the Commodity Futures Trading Commission (CFTC) sued Binance and Zhao Suspected of Offering Unregistered Crypto Derivatives in the US in March
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Zhao was denied The CFTC’s allegations said the regulator’s allegations “appear to contain incomplete factual statements.”
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