- The exchange called its exit “precautionary.”
- The company also blamed new regulations
- Binance promises to continue cooperating with regulators
- Close positions until September 30, 2023
The world’s largest cryptocurrency exchange, Binance, announced it is ceasing operations in Canada.
“Unfortunately, today we announce that Binance will join other prominent crypto businesses in proactively withdrawing from the Canadian marketplace.
We would like to thank the regulators who worked with us to meet the needs of Canadian users.
Unfortunately, new guidelines related to stablcoins and investor restrictions given to cryptocurrency exchanges make the Canadian market currently unsuitable for Binance.”
Every Canadian Binance user received an email that said to close positions by September 30, 2023. And as of Oct. 1, 2023, Canadian customers will only be put into liquidation mode.
The new CSA rules prohibit firms from “allowing Canadian customers to enter into cryptocurrency contracts to buy and sell any cryptoasset that is itself a security and/or derivative,” and also define stabelcoins as securities.
The exchange operated in every region of Canada except Ontario, from which it withdrew in March 2022 after a lengthy disagreement with that province’s regulators.
Binance is the third crypto exchange to leave Canada in 2023. In March, OKX announced it would cease operations in the country.
And in early April, dYdX announced that it was winding down operations in Canada.