OKX exchange will suspend services to users from Canada

In its email to clients, the platform refers to “new regulations”

21.03.2023 - 07:15

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2 min

On March 20, cryptocurrency exchange OKX informed Canadian users via email the firm “will no longer provide services or allow users to open new accounts in Canada starting on Mar. 24, 2023, 12:00 AM EST,” citing “new regulations.” According to OKX, existing Canadian customers must close open options, margins, perpetual and futures positions by June 22. Fiat or tokens must also be withdrawn by that date.

“Your funds will remain safe in your account until you withdraw them. You will be able to withdraw dollars to your linked bank account and cryptocurrency to your self-custody wallet or your cryptocurrency account on another exchange. “

OKX said its withdrawal from Canada is “temporary” and that it’s working with regulators to solve the issue. “We hope to see you again in the future. Stay tuned,” wrote OKX staff. Previously, cryptocurrency exchange Bittrex Global off-boarded Canadian users on July 29, 2022 after giving advance notice, also citing regulatory developments as reasons for leaving the country.

On Feb. 22, the Canadian Securities Administrators (CSA) published a notice requiring crypto exchanges to sign new, legally binding undertakings while they await registration with the regulatory. Among many items, the new undertaking prohibits “buying or depositing Value Referenced Crypto Assets (commonly referred to as stablecoins) through crypto contracts without the prior written consent of the CSA,” although it appears the stablecoin USD Coin USDC tickers down $1.00 has not been affected by the ruling.

Currently, all cryptocurrency exchanges must register with Canadian regulators before onboarding users in the country. On June 22, 2022, cryptocurrency exchanges ByBit and KuCoin were issued millions of dollars in fines after the Ontario Securities Commission determined that determined both were operating as “non-compliant platforms” in the country.