{"id":12922,"date":"2022-06-24T00:50:25","date_gmt":"2022-06-24T00:50:25","guid":{"rendered":"https:\/\/crowdfundjunction.com\/blog\/canadian-regulator-osc-takes-action-against-crypto-trading-platforms-kucoin-and-bybit-regulation-bitcoin-news\/"},"modified":"2022-06-24T00:50:25","modified_gmt":"2022-06-24T00:50:25","slug":"canadian-regulator-osc-takes-action-against-crypto-trading-platforms-kucoin-and-bybit-regulation-bitcoin-news","status":"publish","type":"post","link":"https:\/\/crowdfundjunction.com\/blog\/canadian-regulator-osc-takes-action-against-crypto-trading-platforms-kucoin-and-bybit-regulation-bitcoin-news\/","title":{"rendered":"Canadian Regulator OSC Takes Action Against Crypto Trading Platforms Kucoin and Bybit \u2013 Regulation Bitcoin News"},"content":{"rendered":"

(Originally posted on : Bitcoin News )<\/b>
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The Ontario Securities Commission (OSC) has taken action against two cryptocurrency trading platforms. Kucoin is permanently banned from participating in Ontario\u2019s capital markets. Bybit has promised to take steps to comply with regulations and register with the OSC.<\/strong><\/p>\n

OSC Sanctions 2 Crypto Trading Platforms<\/h2>\n

The Ontario Securities Commission (OSC) announced Wednesday the outcome of enforcement actions against two foreign cryptocurrency trading platforms operating in its jurisdiction.<\/p>\n

The first is Bybit, a crypto trading platform operated by Bybit Fintech Ltd., incorporated in the British Virgin Islands. The other is Kucoin, operated by Mek Global Ltd., incorporated in the Republic of Seychelles, and Phoenixfin Pte. Ltd., incorporated in Singapore.<\/p>\n

\u201cBybit and Kucoin both operate unregistered crypto asset trading platforms and allowed Ontario investors to trade securities without a prospectus or any exemption from the prospectus requirements,\u201d the Canadian regulator explained.<\/p>\n

Regarding Kucoin, the announcement states:<\/p>\n

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The OSC successfully obtained orders permanently banning Kucoin from participating in Ontario\u2019s capital markets and requiring Kucoin to pay an administrative penalty of CAD $2,000,000.<\/p>\n<\/blockquote>\n

Kucoin must also pay a further CAD $96,550.35 ($74,497) towards the costs of the OSC\u2019s investigation.<\/p>\n

As for Bybit, the regulator settled with the exchange. The OSC explained that, unlike Kucoin, Bybit responded to its enforcement action, maintained an open dialogue, provided requested information, and committed to engaging in registration discussions.<\/p>\n

The Canadian securities watchdog described:<\/p>\n

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As part of a settlement agreement, Bybit has disgorged USD $2,468,910 and paid a further CAD $10,000 towards the cost of the OSC\u2019s investigation.<\/p>\n<\/blockquote>\n

\u201cBybit has also given an undertaking to the OSC, which holds the firm accountable for taking steps to bring its operations into compliance,\u201d the regulator added. The exchange will also require existing Ontario retail investors to wind down their positions in certain restricted products.<\/p>\n

In March last year, the OSC told crypto trading platforms that offer derivatives or securities trading in Ontario to start registration discussions with it by April 19, 2021, or face enforcement action. The Canadian regulator noted:<\/p>\n

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Despite this warning, Bybit and Kucoin did not contact the OSC by the deadline and continued operations in Ontario.<\/p>\n<\/blockquote>\n

What do you think about the OSC taking action against Bybit and Kucoin? Let us know in the comments section below.<\/strong><\/em><\/p>\n

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\nKevin Helms <\/h6>\n

\nA student of Austrian Economics, Kevin found Bitcoin in 2011 and has been an evangelist ever since. His interests lie in Bitcoin security, open-source systems, network effects and the intersection between economics and cryptography.

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Image Credits<\/b>: Shutterstock, Pixabay, Wiki Commons<\/em><\/p>\n

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