Cryptocurrency exchange OKX will sunset its services for Canadian customers starting from March 24 as new regulations come into force.
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In a letter to customers, the exchange also called on customers to close any open orders or futures options by June 22. OKX also asked Canadian customers to withdraw fiat and crypto before June 22.
Although the reason behind the move remains undisclosed, the exchange said the reorganization is "temporary" as it's working alongside the local regulators to resume operations in Canada:
"OKX's withdrawal from Canada is temporary and we are working with regulators to solve this issue."
In February, the Canadian Securities Administrators (CSA) strengthened oversight of crypto-related companies, saying "recent insolvencies" highlight the tremendous risks associated with trading crypto assets.
The CSA added all crypto businesses which operate in Canada are expected to go through an enhanced pre-registration process before April 2023. The pre-registration should include a detailed description of how clients' funds are stored and segregated. The businesses also have to confirm they do not offer margin, credit, or other forms of leverage to any Canadian client.
Last year, the Ontario Securities Commission (OSC) and the CSA imposed limitations on Canadian crypto investors, by decreasing the amount of altcoins they can purchase in several Canadian provinces.
Newton and Bitbuy were the first Canadian crypto platforms to implement the limitations, according to their updated FAQs. However, Newton said that the limits do not apply to those, who live in British Columbia, Alberta, Manitoba, or Quebec.
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