The most popular crypto exchange Binance finally decided to quit its operation in Canada. Any crypto business does not want to decide to stop its operation in a particular country. Every company works to expand its operation, but when they face restrictions where they do not have feasible options to do something, it is time to make a tough decision.
Binance will explore other crypto businesses to expand its business, but it is going to quit the Canadian market. Canada is a huge market and it is the home country of Binance's founder CZ. Still, the exchange had to make this tough decision. Because of investor limits provided to cryptocurrency exchanges and new guidance related to stablecoins, this exchange has come to this conclusion.
Binance is not the only crypto company leaving the Canadian marketplace, crypto exchange OKX, Paxos, and dYdX made the same decision because of regulatory concerns. When the regulatory agency changes its regulations and comes up with new regulations, that can create a challenging situation especially if that is not crypto-friendly.
It is up to them how they view crypto and the adoption of cryptocurrency. Some countries like El Salvador have adopted cryptocurrency and made Bitcoin its legal tender. On the other hand, some countries go hard cracking down on crypto and make regulations to hit crypto businesses.
The regulatory environment is something that can force crypto businesses outside of the country. At the same, the regulatory environment can attract crypto businesses all over the world if that is crypto-friendly. The UAE is doing a great job providing a crypto-friendly environment that attracts crypto businesses. It will accelerate innovation and development in crypto in that country.
If some countries force innovation and development in crypto out of their countries, they will fall behind at some point. When they realize this, maybe that would be too late. The way crypto starts its journey, no centralized authority can stop that. They can only attempt to slow it down temporarily. It will move to another place. It will flourish and show its light over there.
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Reference: 1.
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The regulations have been causing a bunch of centralized platforms to leave. It makes me wonder just how much harder it will be to get into crypto in those countries.
Me too. They are driving crypto away from their country.
It seems Canada is attacking the on and off-ramp’s
Crypto businesses are hard to operate there. If they keep cracking down like this, crypto will go offshore.
The exodus has already started I think
Bad News. Binance has been seen as a legitimate and stable platform.
Yes, it is. Let's see how far they go scrutinizing crypto.