OSC Bans Popular Bitcoin Exchange!

OSC: The Ontario Securities Commission (OSC) is taking more action against unregistered Bitcoin exchanges. In two legal actions completed on June 21 and 22, OSC banned Kucoin from Ontario. On the other hand, it has reached an agreement with Bybit, which is committed to working with OSC to register its platform. Here are the details…


Bitcoin exchange banned in Canada

As part of the rulings, the regulator fines Kucoin CAD 2,096,550.35 ($1,621,597.83). It appears that Bybit has dumped 2,468,910 Canadian dollars ($1,909,603.13) of its revenues to the regulator. The regulator fines the exchange an additional C$10,000 ($7,734.60) to pay for its investigation. The OSC announcement includes:

Unlike KuCoin, Bybit has responded to the OSC’s enforcement action, maintaining an open dialogue, providing requested information and committed to participating in registration discussions.

The Ontario Securities Commission (OSC) announced today that a settlement agreement has been approved between OSC and Bybit Fintech Limited. However, the commission was ordered to permanently ban Kucoin for not complying with Ontario’s securities law.

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Bybit reached a compromise

In March 2021, the OSC ordered cryptoasset trading platforms offering derivatives or securities trading in Ontario to contact the OSC or face sanctions action. The duration of the order to do this was 3 weeks. Bybit and KuCoin were unable to contact OSC until the deadline. He continued his activities in Ontario. OSC has received orders that permanently ban KuCoin from participating in Ontario’s capital markets.

As registration negotiations continue, Bybit said it will not accept new accounts for Ontario residents, offer new products to existing accounts held by Ontario investors, or engage in any marketing and promotional activities targeting Ontario residents. For retail investors in Ontario, Bybit will allow investors to reduce their positions in certain restricted products, such as contracts that include leverage, margin or loan extensions. Bybit and KuCoin both operate unregistered crypto-asset trading platforms and enable Ontario investors to trade securities without any exemption from the requirements of a prospectus.

The move is part of a series of actions taken by the OSC against crypto exchanges, following the decision by the national Canadian Securities Executives in early 2021 to treat their custodian exchanges as securities exchanges, regardless of whether cryptocurrencies themselves are securities. AmkNews.com As we have also reported, the first such enforcement action was against Poloniex. The OSC is a provincial regulator, but Canada lacks a true federal equivalent to the Securities and Exchange Commission.

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Larry Brown

I graduated from Yale University, Department of Television. I have been a professional news writer for 3 years. I am continuing my career here by establishing amknews.com site 3 months ago.