Canadian securities regulator bans Kucoin, strikes agreement with Bybit

The Ontario Securities Commission (OSC) has banned the KuCoin exchange from operating in the region following security breaches. It also announced that it has reached a settlement agreement with Bybit regarding the exchange’s failure to comply with Ontario securities law. The regulator issued warnings to both KuCoin and Bybit last year, saying both platforms may [...]

Canadian securities regulator bans Kucoin, strikes agreement with Bybit

The Ontario Securities Commission (OSC) has banned the KuCoin exchange from operating in the region following security breaches.

It also announced that it has reached a settlement agreement with Bybit regarding the exchange’s failure to comply with Ontario securities law.

The regulator issued warnings to both KuCoin and Bybit last year, saying both platforms may have violated securities regulations.

The commission said that both companies failed to register as crypto-asset trading platforms. Jeff Kehoe, Director of Enforcement at OSC, said: “Foreign crypto-asset trading platforms that wish to operate in Ontario must comply with regulations or face enforcement action. The results announced today should serve as a clear indication that we refuse to tolerate non-compliance with Ontario securities law.”

KuCoin will also have to pay an administrative fine of $1.54 million and the cost of the investigation. KuCoin has been the reason banned It is that he had not complied with the demands of the OSC.

Bybit agreed not to stop accepting new accounts for residents of Ontario, not to release new products, or to engage in marketing or promotional activities.

KuCoin did not meet any of these demands or even respond to OSC’s enforcement action and never “maintained open communication, provided the requested information, and committed not to engage in registration discussions”. was.”

Canadian officials stand in the field

Last year, when the OSC called on KuCoin for breaking securities laws, it said investor safety and volatility were primary concerns.

Binance has also been forced to cease trading in Ontario after the OSC alleged a similar breach. The Exchange has agreed to stop accepting new accounts and is committed to servicing existing accounts.

Canada and its stance on crypto also made headlines earlier this year during the COVID-19 truck driver protests. The government used emergency powers to ban the crypto asset class. The decision was swiftly condemned and some called it harsh.

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source: beincrypto.com