BNB: Binance Withdraws From Canada as Regulatory Pressures Reach Boiling Point
- Binance has announced it will no longer operate in Canada after regulators introduce new guidelines.
- The move comes 2 months after the exchange stopped GBP withdrawals and deposits after its provider terminated their agreement.
- Binance was also sued by the SEC in March for allegedly undermining its restrictions on crypto derivatives trading.
The largest crypto exchange in the world, Binance has announced that it will be withdrawing from Canada due to regulatory pressures becoming too great. Just weeks ago, Canadian financial regulators had introduced a series of guidelines to crypto exchanges, which had limited the amount that people could invest and introduced new registration requirements. Companies who did not implement these new rules into their operations were threatened with enforcement action.
The new crypto landscape?
With 2022 having seen a mass selloff of crypto assets across the board, many regulatory bodies are strengthening their policies this year, in efforts to prevent such market chaos in the future. For some companies however, new regulation isn’t reassuring enough.
Just 2 months ago, Binance announced that it would be stopping GBP withdrawals and deposits, as a result of their service provider, Skrill, terminating their agreement amid regulatory uncertainty. Binance also got into hot water with the SEC in March for allegedly encouraging its US customers to bypass restrictions on crypto derivatives trading through the use of a VPN. Whatever movements the crypto market makes this year, exchanges will need to stay on their toes to navigate a tidal wave of new regulation.
(About Binance)
Binance is a prominent and highly popular cryptocurrency exchange that provides a platform for individuals and institutions to trade various cryptocurrencies. Founded in 2017 by Changpeng Zhao (better known as "CZ"), Binance quickly gained traction and became the largest and most influential exchange in the cryptocurrency market. Binance has also developed its own native cryptocurrency called Binance Coin (BNB). BNB serves multiple purposes within the Binance ecosystem, including reduced trading fees, participation in token sales on the Binance Launchpad platform, and to power its own blockchain known as BNB Chain.