Binance has decided and duly implemented its decision of suspending its crypto services in Ontario, Canada. The reason described for doing so was told to be the ongoing slaughter of crypto exchanges in Ontario by the Canadian government which has already left many crypto trading platforms in the Province at forced closures.
In Ontario, Canada, there is a massive operation of the type of crackdown is continuing against crypto exchanges. Ontario is the biggest Province of Canada was housing a large number of local and foreign exchanges. In fact, there were many world’s leading crypto exchanges as well as serving Canadian investors. One such leading foreign brand available in Ontario was Binance.
Binance has informed its Ontario-based customers that the firm would not be able to serve them anymore. It was told by the firm that Ontario has now become a restricted area of crypto trading for Binance. The firm told the customers that the change has been brought up to ensure compliance with certain rules and regulations. Soon after the announcement, Binance also amended its contract for “Terms of Use” in which “Ontario” has been marked as “restricted jurisdiction”.
It was further informed by Binance that the change in policy will take effect from 26th June 2021. It was said that it is regrettable that the firm had to suspend its crypto services to its customers in Ontario. However, the decision has been taken and nothing else can be done except for tendering an apology, said Binance’s official. Customers have been further advised to immediately wrap up their active positions if any. For this, a timeline of 31st December 2021 has also been provided to Binance’s customers from the region of Ontario.
Earlier, the Securities Commission of Ontario had been seen going harshly against crypto exchanges. The authority was of the view that securities regulations were not complied with by crypto exchanges based in Ontario. For ensuring compliance, the exchanges were asked to immediately obtain authorizations and registrations before 19th April 2021. This then led to the forced closures of several crypto exchanges in the area because they failed to meet the deadline.
The registration of Binance too was pending due and the firm deliberately avoided the registration. It was feared that someday the authority will reach out to Binance as well. However, looking at the decision of Binance, it seems that Binance is not willing to accept the regulation. Instead, it has suspended its crypto trading arms and services in Ontario and apologized to the customers.
It is still shocking that it too long for Binance to arrive at a decision. Otherwise, Binance’s business competitors like Bitmex had already taken the same initiative in the month of August 2020. At that time, Bitmex told its customers that the decision was taken because of the actions of the Securities Commission of Ontario.
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