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Binance, Binance Canada, Canadian Market, Cryptocurrency Exchange, Cryptocurrency Scam, Investor Limits, Proactive Withdrawals, Regulatory Guidance, Stablecoins, Stolen Funds, UK Court, US Department of Justice
Binance to withdraw from Canadian market due to regulatory climate – Bitcoin News
Binance, the world’s largest cryptocurrency exchange by trading volume, announced Friday that it is “proactively withdrawing from the Canadian market.” The company thanked the regulators who worked with them and said the Canadian market was “small”.
Binance bows out of Canada due to regulatory guidance
The cryptocurrency exchange Binance has decided to withdraw from the Canadian market. The company noted that it was the home country of the founder and cited regulatory guidance as the reason for the decision. Binance claims that the new regulatory climate in Canada makes it less possible for its digital currency business to operate in the country.
“Unfortunately, today we are announcing that Binance will join other prominent crypto companies in proactively withdrawing from the Canadian marketplace,” Binance tweeted on Friday. The trading platform’s social media account added:
Unfortunately, new guidance related to stablecoins and investor limits given to crypto exchanges makes the Canadian market no longer viable for Binance at this time. We are delaying this decision as long as we can to explore other reasonable avenues to protect our Canadian users, but it has become clear that none exist.
The news follows the UK court setting aside a temporary proprietary injunction against Binance. The court ordered Binance to keep a certain amount of cryptocurrency after a victim of cryptocurrency fraud claimed to have traced the stolen funds to the exchange. Additionally, last week, a report said Binance was being investigated by the US Department of Justice (DOJ) over alleged Russian sanctions violations.
In the announcement on Friday, Binance said that Canadian users will receive an email containing important details about how their accounts will be affected in the future. Despite the regulatory climate surrounding stablecoins and investor limits, the exchange expressed its willingness to cooperate and communicate with Canadian regulators.
While Binance doesn’t necessarily agree with the current regulations, it said it remains open to working toward a solution. The exchange concluded that it remains optimistic that a thoughtful framework will be established in the future, potentially paving the way for Binance to resume its services to Canadians.
What do you think about Binance leaving the Canadian market? Share your thoughts in the comments section below.
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