Binance, the biggest cryptocurrency exchange and trading platform, has shared that it will join other major crypto platforms and companies in “proactively withdrawing from the Canadian marketplace.” Unfortunately, this decision will result in excluding crypto users in Canada. The announcement was made with a somber tone by the Binance team.
Binance Proactively Withdraws Services To Canadians
A surprising announcement came from Binance’s official Twitter account on May 12, 2023, stating that they will be withdrawing their crypto operations and services from the Canadian market in a proactive move.
Binance expressed gratitude towards Canadian regulators for collaborating to provide Canadian customers with adequate crypto services and products. However, the company has decided to discontinue these services.
The largest crypto exchange, led by CEO Changpeng “CZ” Zhao, is withdrawing from their home country due to stricter crypto regulations and operational guidelines imposed by authorities. This new development is causing concern within the crypto community.
Canada recently released new guidance for crypto companies about stablecoins and certain limitations for crypto investors to stifle crypto operations in the country.
According to the official announcement, Binance, in efforts to maintain the relationship with its Canadian crypto users and community, “tried its best to allay fears of this strict regulation by exploring other areas to protect its users but found none.”
The Canadian crypto market is no longer “tenable for Binance,” as the tweeted announcement shows. Commenting on the announcement, CZ stated the following reflecting upon negative news shared in 2018:
Not sure how many people remember the events on this day in 2018. It was not positive. Now, the issue is mostly resolved, and we have grown.
What’s Next For Canadian Crypto Users?
The Binance withdrawal announcement from Canada does not leave users in this jurisdiction hanging. It states that the exchange will send out a detailed official email to all users on how this new development will impact their accounts going forward.
The announcement also assures Canadian users that Binance is confident in returning someday when its users have the free will to access a broader suite of digital assets services. And while the exchange currently disagrees with the new Canadian crypto regulations and guidelines, it hopes to continue its engagement with regulatory officials in the country to arrive at a thoughtful and thorough regulatory framework for crypto operations.