Benzinga - In a significant development, Binance, one of the world's leading cryptocurrency exchanges, announced it is ceasing operations in Canada.
The decision came in response to recently issued regulatory guidelines concerning stablecoins and investor limits. Binance indicated that these regulations have rendered the Canadian market "untenable" for its operations.
This decision is particularly interesting as Canada is now the home of Binance's founder, Changpeng Zhao.
In a statement issued Friday, the company said despite its relatively small market size, the country held considerable sentimental value for the company.
"We had high hopes for the rest of the Canadian blockchain industry. Unfortunately, new guidance related to stablecoins and investor limits provided to crypto exchanges makes the Canada market no longer tenable for Binance at this time. We put off this decision as long as we could to explore other reasonable avenues to protect our Canadian users, but it has become apparent that there are none," the company stated.
Also Read: Massive Shiba Inu Endorsement? New Twitter CEO's Account Shows Major Crypto Hint
The company added that Binance's current user base in Canada will receive detailed emails outlining the implications of this development on their accounts.
Although Binance has expressed disagreement with the new regulations, it stated that it remains hopeful for continued engagement with Canadian regulators.
The ultimate goal is to establish a comprehensive and thoughtful regulatory framework, it said.
Despite its withdrawal, Binance continues to stress its commitment to the Canadian market and hopes for improved regulatory conditions in the future.
Read Next: JPMorgan CEO Jamie Dimon Calls Out the Fed: Too Many Rules, Questions Reliability Of Stress Tests
© 2023 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.