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On Friday, May 12th, the world’s largest cryptocurrency exchange Binance announced it is pulling out of Canada. According to the tweet, recent regulatory changes in the country, particularly pertaining to stablecoins and investor limits, have made continuing operations untenable.

Binance to Depart Canada

This Friday, Binance announced it is departing the Canadian market. According to the exchange, regulatory guidance pertaining to stablecoins and investor limits have caused continuing operations in the country untenable for the company.

In its post, Binance expressed regret over the situation and stated that it had high hopes for the future of the blockchain industry in Canada. While calling the market “small”, the exchange stated that it had a high sentimental value for it due to the country’s personal significance to the firm’s CEO, Changpeng Zhao.

Binance also stated it hopes to continue to work with Canadian regulators and highlighted it disagrees with the new guidance. According to the post, users in the country will receive more comprehensive information via email. Binance also stated it believes it will return to Canada at some point in the future.

Canadian Crypto Regulation Leading Multiple Firms to Quit the Market

Over the recent months, multiple digital assets companies have announced their departure from the Canadian market. Generally, the exodus has been caused by a series of changes to the country’s regulatory framework with regard to cryptocurrency.

On April 7th, dYdX, a decentralized cryptocurrency exchange, announced it is departing Canada without giving any specific reasons for the decision. When it announced its operations in the country would wind down by June 2nd, Paxos identified the regulatory climate as the main reason but also stated it hopes to return to the market one day.

On the other hand, several other major digital assets firms have decided to remain in Canada despite the increased requirements. Both Kraken and Gemini have elected to file the pre-registration undertaking with the Ontario Securities Commission and continue operating in the country.

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