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Bybit Becomes Latest Crypto Platform to Be Targeted by Canadian Securities Regulator

The action against Bybit follows a similar one the OSC took against KuCoin trading platforms earlier this month.

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Bybit Fintech, the second-largest futures trading platform by open interest, was accused of operating an unregistered cryptocurrency trading platform in Ontario, according to a Statement of Allegations published by the Canadian province's Ontario Securities Commission.

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  • The regulator said Bybit is operating an unregistered crypto asset trading platform and encouraging Canadian customers to trade crypto asset products that are securities and derivatives on the platform.
  • The action against Bybit follows a similar one the OSC took against KuCoin trading platforms earlier this month.
  • Both actions come after the OSC issued a press release on March 29 notifying crypto asset trading platforms operating in the Canadian province that they need to bring their operations into compliance with Ontario securities law by April 19 or face potential regulatory action.
  • The OSC said Bybit has yet to contact the commission to begin compliance talks.
  • Potential penalties include payment of not more than $1 million in penalties for each failure to comply with Ontario securities law.

Read more: Bybit Climbs Past CME to Become Second-Largest Bitcoin Futures Exchange

Kevin Reynolds

Kevin Reynolds is editor-in-chief at CoinDesk. Prior to joining the company in mid-2020, Reynolds spent 23 years at Bloomberg, where he won two CEO awards for moving the needle for the entire company and established himself as one of the world's leading experts in real-time financial news. In addition to having done almost every job in the newsroom, Reynolds built, scaled and ran products for every asset class, including First Word, a 250-person global news/analysis service for professional clients, as well as Bloomberg's Speed Desk and the training program that all Bloomberg News hires worldwide are required to take. He also turned around several other operations, including the company's flash headlines desk and was instrumental in the turnaround of Bloomberg's BGOV unit. He shares a patent for a content management system he helped design, is a Certified Scrum Master, and a veteran of the U.S. Marine Corps. He owns bitcoin, ether, polygon and solana.

Kevin Reynolds