Binance is withdrawing from Canada due to newly issued guidelines for cryptocurrency exchanges. These guidelines include investor limits and mandatory registrations.
Canada has strengthened regulations for crypto asset trading platforms, implementing a pre-registration process. Companies that do not comply may face enforcement actions according to the Ontario Securities Commission.
In a tweet, Binance expressed disappointment with the new guidance on stablecoins and investor limits, which has made the Canadian market unfeasible for the exchange. Binance disagrees with the latest guidance and aims to engage with Canadian regulators to establish a comprehensive crypto operations framework.
Binance, founded by Canadian national Changpeng Zhao, is confident about returning to the market when Canadian users regain access to a broader suite of digital assets.
- Read More:
- Couple who paid builder £27k for porch ‘left without roof or front door 10 months later’
- Local lads open a cafe serving bacon baps at just £1
- Wales new free ports named
- Planning to ‘plan’ to redevelop and rebuild a High School in Cardiff
- Keep Cash movement sweeping the uk
- Welsh Government rush to spend £4.25m due to underspend, causes ‘major concerns’
- Cardiff’s new indoor arena now going to cost £100 milllion more than expected
Regulators worldwide are intensifying scrutiny of the digital assets industry, especially after the market downturn triggered by the collapse of Binance’s competitor, FTX, in November.
Lawmakers and securities regulators are demanding stricter disclosure guidelines for crypto companies’ operations and customer fund management following significant losses during the crypto winter of 2022, which wiped out trillions in market value.
In March, the U.S. Commodity Futures Trading Commission sued Binance and its CEO, Zhao, alleging they operated an “illegal” exchange and had a “sham” compliance program.