Dubai-based cryptocurrency exchange Bybit has announced the suspension of its services to the United Kingdom in response to pending rules from the country’s Financial Conduct Authority, or FCA.
In an announcement dated September 22, Bybit announced He said It will begin suspending services for UK residents on October 1 by not allowing new account requests. This move will be followed by the suspension of new deposits, new contracts and position changes for existing users on October 8.
“In light of the UK Financial Conduct Authority introducing new rules regarding marketing and communications by cryptocurrency companies. […] “Bybit has made the choice to proactively embrace the regulation and pause our services in this market,” the company said.
Due to recent regulatory changes in the UK, Bybit will suspend its services in the UK. New account requests stop as of October 1, 2023, 8 AM UTC. For existing UK users, please manage your positions before January 8, 2024, 8am UTC. #babybit
– Bybit (@Bybit_Official) September 22, 2023
Bybit’s date for terminating its services will be a deadline set by the Financial Conduct Authority (FCA) for crypto asset companies marketing to users in the UK to be compliant with certain rules aimed at providing “clear, fair and not misleading” marketing systems. The FCA first announced the rules in June and issued an additional warning on September 21 reminding companies of the October 8 deadline and the risk of criminal charges.
Related: The UK is considering a blanket ban on cold calls related to investing in cryptocurrencies
According to Bybit, the suspension of services “will allow the company to focus its efforts and resources to be able to best meet the regulations set by the UK authorities in the future.” The FSA suggested that some companies could have until January 2024 to comply with marketing rules but would need prior approval from the regulator.
Paybit announced a similar reduction in services in Canada in May, citing “recent regulatory developments” at the time. However, the company has expanded into new markets, including Kazakhstan, where it received initial approval to operate as a cryptocurrency custody service provider in May.
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