Due to the upcoming problems related to regulatory rules in Canada, Binance as the largest the world’s crypto exchange has decided to withdraw from the Canadian market. This news traveled the world in Friday evening, following Binance’s unsuccessful dialogue with Canadian regulators.
In a statement on Twitter, Binance expressed hope for a return to the Canadian market with emphasis on open dialogue with regulators. The aforementioned post on Binance’s Twitter profile is seen over three million times in just twenty-four hours.
Unfortunately, today we are announcing that Binance will be joining other prominent crypto businesses in proactively withdrawing from the Canadian marketplace.— Binance (@binance) May 12, 2023
We would like to thank those regulators who worked with us collaboratively to address the needs of Canadian users.…
Binance pointed out that the new regulatory rules are too rigid, specifically referring to stable currency restrictions. Regarding existing users from Canada, official announcement with an explanation of the specific impact on their accounts will be received via electronic mail.
It is interesting to point out that according to Binance, this news also carries sentimental weight for their founder. Namely, the founder and CEO of Binance Changpeng Zhao better known as “CZ” immigrated to Canada as a young man, and is also a holder of Canadian citizenship.
The development of the situation related to Binance’s departure from Canada is closely monitored by investors from neighboring countries of the United States of America. This move by Binance came at a time when Crypto exchanges in the United States also face regulatory norms of their own legislator. Surely leaving the neighboring country, where there is a large number of investors and users would be a huge blow to Binance. It is interesting to point out that Binance occupied third place in terms of the popularity of cryptocurrency exchanges in the USA according to research from end of last year. In first place was the domestic Coinbase cryptocurrency exchange, while Kraken placed second.