Crypto Exchange Bybit Suspends Services in the UK Ahead of Regulatory Changes
Crypto exchange Bybit has announced the suspension of its services in the UK due to upcoming cryptocurrency marketing regulations by the Financial Conduct Authority (FCA). Starting from October 1, new accounts cannot be opened, and from October 8, existing clients will no longer be able to add funds, make contracts, or raise positions. However, customers can reduce and close their positions and withdraw their funds.
Bybit has advised UK customers to wind down their positions by January 8, as open positions will be liquidated after that date. The FCA’s new advertising and promotion regulations for crypto businesses will come into effect on October 8. These rules require registration with the FCA for authorization of communications and advertisements.
Is Bybit Exiting the UK Market?
While Bybit did not specify the duration of the suspension, CEO Ben Zhou indicated that the exchange might exit the UK market due to difficulties in complying with the new regulations. However, he later refuted these claims and emphasized Bybit’s commitment to the UK market.
The new regulations have also affected other exchanges and platforms. PayPal has temporarily paused its crypto services in the UK until next year, while CoinCorner will discontinue its affiliate program for UK consumers on October 1st.
Hot Take: Bybit Temporarily Suspends Services in the UK
Bybit has decided to suspend its services in the UK ahead of new cryptocurrency marketing regulations introduced by the FCA. This move aims to ensure compliance with advertising and promotion rules for crypto businesses. While it is uncertain how long this suspension will last, Bybit remains committed to working with regulators and maintaining its presence in the UK market. Other platforms like PayPal and CoinCorner have also been affected by the regulatory changes. Bybit’s decision reflects the increasing scrutiny and stricter regulations faced by crypto exchanges in various countries.
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