Binance has announced its withdrawal from Canada due to regulatory constraints. The platform promises to continue dialogue with regulators for a possible return.
Binance pulls out of Canadian market
Despite the commitment of its CEO, Changpeng Zhao in Canada, his country of origin and the Bitcoin’s adoption progress in the country, Binance will no longer operate in the country. The withdrawal, announced on May 12, is due to regulatory challenges.
After the incident of FTX, Canada has strengthened its regulation of the crypto sector. In February, crypto platforms received a ban on providing leveraged trading services and stablecoin transactions. All exchanges also had to register within 30 days.
These bans and restrictions disrupted the operations of the platforms. Thus, Crypto.com has delisted the stablecoin USDT for its Canadian users to comply with regulatory requirements. Binance went even further, deeming the new guidelines to make the Canadian market unsustainable.
Not only in Canada, but also in the U.S., hostile crypto regulations are driving away businesses and invading the public debate in the run-up to the presidential elections.
In contrast, some states, such as Dubai and the SalvadorEl Salvador is implementing more flexible regulations to attract capital. El Salvador even introduced a full tax exemption law in tech.
Binance hopes to return to Canada
Binance’s withdrawal from the Canadian market is a drastic measure and contrasts with its the conquest of other countries. However, this decision is not final.
Binance has been exploring other options for remaining in Canada. The platform plans to continue the dialogue with Canadian regulators, hoping to promote a well thought out and comprehensive regulatory framework.
We are confident that we will one day return to the market when Canadian users once again have the freedom to access a broader range of digital assets.
Binance
In a regulatory context, the question arises: should we follow the example of Canada and the United States with an anti-crypto policy, or would it be better to take a more pro-crypto investment stance like Dubai and the Salvador ? The debate is not yet over. One thing is certain: strict regulation discourages investors, resulting in job losses in an already strained economic environment.
I dream of a world where every citizen has total control over themselves, including their finances. I believe that Bitcoin is one of the tools that will achieve this revolution. Since 2019, I am learning about this cryptocurrency and spreading the word around.
