Bybit has announced its desire to exit France and its localities due to unfavorable regulations. The exchange communicated the new decision via its official official website, eliciting surprises among investors.
Breaking the news to users, Bybit wrote, “It has always been Bybit’s primary objective to operate our business in compliance with all relevant rules and regulations. In light of recent regulatory developments from the French regulator, Bybit will stop offering our products and services to French nationals and residents (“French Users”).”
Instructions for Bybit Users
Per the trading platform’s statement, access to all the products offered by the company will cease from August 2, 2024. Consequently, trading activities ranging from transacting assets, holding new positions, and opening new trades will no longer be permitted.
Meanwhile, from August 13, card services and other unaffected operations following the August 2 deadline will also cease to function. Interestingly, withdrawal options will continue even after the deadlines elapse. It will allow users to move their funds from the custom wallet to different designations.
New Unfavorable Regulations Emerged
Bybit's decision to exit France stemmed from the strict regulation from France's regulatory authority, Autoritè des marchès (AMF). The regulatory body flagged Bybit's activities as illegal and unauthorized in the French nation. In a previously sounded warning, the AMF had warned French crypto users still patronizing Bybit. Notably, the AMF stated that Bybit has failed to register as a Digital Assets Service Provider (DASP) in France.
In addition, Europe's Market in Crypto-Assets (MiCA) implementation played some roles, culminating in Bybit's France's exit. Introduced in September 2020, the regulatory framework was mandated to oversee anti-money laundering and liquidity and enhance consumer protection protocol. The strategies employed by AMF and MiCA frameworks are the major factors pushing the company away from France. Until these rules are duly adjusted, more trading platforms will likely prefer here.