Binance, one of the world’s largest cryptocurrency exchanges, announced on May 12, 2023, that it would be withdrawing from the Canadian marketplace, citing the “proactive” decision` was as a result of the new Canadian regulator guidance related to stablecoins and investors has affected the country’s cryptocurrency industry.
This decision comes after regulatory scrutiny in Canada, where the Canadian Securities Administrators (CSA) introduced on February 22 requiring all cryptocurrency exchanges operating in the country to register with the regulatory authority. Binance is joining OKX, Paxos and Dydx in leaving Canada.
The new CSA rules prohibit crypto companies from allowing Canadian clients to enter into crypto contracts to buy and sell any crypto asset. One of the rules also prohibits crypto asset trading platforms (CTP) from providing any Canadian client with credit, margin or any type of leverage.
Binance stated that the decision to leave Canada was delayed till when it was announced to see if there might be other, reasonable regulations for its Canadian users, “but…