Leading crypto exchange Binance has just signed an undertaking with the Ontario Securities Commission (OSC) to officially shut down its operations in the province.
Binance to Stop Serving Ontario Crypto Traders
According to the announcement from OSC’s official website, the undertaking was issued due to the exchange offering crypto services to investors in the province without regulatory approval which is risky for investors.
Binance previously informed its Ontario customers back in June that it would stop operating due to the OSC crackdown on unregistered crypto firms. However, the exchange did not shut down its operations, instead it informed users in December that it had resumed operations after authorization from the OSC, the regulator said.
“Binance commits that it will continue to prevent any activities involving Ontario residents, apart from these permitted actions, and to provide fee waivers and offer fee reimbursements to certain Ontario users. Binance undertakes to maintain these restrictions until further notice to Binance by the OSC,” the undertaking reads.
Binance Regulatory Woes
Binance has faced several regulatory backlash from global regulators due to its unlicensed operation.
Last July, Consob, the Italian financial watchdog, stated that Binance is not authorized to operate in the country, informing users to be careful while trading with the exchange as it can lead to loss of funds.
Three months later, it halted its crypto derivatives products for South African customers, citing regulatory compliance with the country’s watchdog.
In December, Binance announced it would be shutting down operations in Singapore, in what could be due to a regulatory dispute.
The crypto exchange has also in the past faced regulatory challenges from regulators in the UK, US, Japan and Germany, among others.
Becoming Compliant With Regulations
Binance has been making efforts to obtain licenses in different countries to operate as a registered exchange.
In December, the leading crypto exchange signed a Memorandum of Understanding (MoU) with the Dubai World Trade Center Authority (DWTCA) to assist with the regulation of crypto assets.
A few days ago, Binance received a license from Dubai to operate as a crypto service provider in the city just shortly after it obtained a crypto asset service provider license from the central bank of Bahrain (CBB) following an “in-principle” approval from the regulator back in December.
