- Canadian Securities Regulators targeted Bybit on a non-compliance trading platform.
- Bybit is the second-largest crypto trading platform operating unregistered in Ontario.
- OSC has taken similar actions against KuCoin.
Ontario Regulators targeted Bybit in their recent crackdown on non-compliance crypto trading platforms. Besides, Bybit is the second-largest crypto trading platform blamed for operating unregistered in Ontario.
Moreover, the allegations were incited against the platform by the Ontario Securities Commission (OSC). Also, it includes operating an unregistered crypto asset trading platform, together attracting Canadian clients to trade in asset products that are indeed securities and derivatives.
In the past month, OSC has taken similar moves against KuCoin. However, both acts came after the two crypto trading platforms failed to comply with the rules set by OSC. They were also reaching out for agreement talks by 19th April.
On 29th March, OSC notified crypto trading platforms to bring their operations into compliance with Ontario law by 19th April. Unfortunately, Bybit hasn’t contacted OSC and risks facing regulatory action.
However, Bybit will likely face regulatory actions that include paying more than $1 million in fines from failing to comply with securities law or exit the Canadian market.
Furthermore, Bybit says in an emailed statement they view legal compliance as one of their top priorities. In addition, they are informing their lawyers and will discuss the issue with Ontario regulators.
Meanwhile, the OSC thanks the British Virgin Islands Financial Services Commission for their help in the Bybit matter.
Lastly, the OSC continues adding unregistered crypto-asset trading platforms. Recently, they added 12 platforms to their Investor Warning List.