Binance CEO Changpeng Zhao / Photo credit: Binance
Global crypto exchange Binance has announced that it will discontinue its operations in Canada following tightened regulations for crypto trading in the country.
“Unfortunately, new guidance related to stablecoins and investor limits provided to crypto exchanges makes the Canada market no longer tenable for Binance at this time,” the company wrote on Twitter.
Binance operated throughout Canada except in Ontario, where it pulled out in March 2022 amid a heated relationship between the Ontario Securities Commission and crypto exchanges.
Earlier this year, the Canadian Securities Administrators issued a notice that prohibits certain crypto trading platforms from “permitting Canadian clients to enter into crypto contracts to buy and sell any crypto asset” that is considered a security or a derivative.
Binance co-founder and CEO Changpeng Zhao, commonly called CZ, is a Canadian. However, the crypto firm was founded and initially based in China.
See also: Coins and Controls: a breakdown of Southeast Asia’s crypto regulations (Malaysia)
The company said it’s possible for a comeback in Canada once users in the country are granted “freedom to access a broader suite of digital assets.”
Other crypto platforms that have announced their respective closures in Canada include OKX, dYdX, and Paxos.
Globally, Binance has faced increased regulatory scrutiny, receiving warnings and restrictions from various governments. This has prompted the company’s CEO to seek a successor with a strong regulatory background.
Editing by Miguel Cordon and Lorenzo Kyle Subido
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