Bybit To Exit France Amid Regulatory Hurdles
By: Isha Das
Crypto exchange Bybit is ceasing its operations in France due to recent regulatory issues, according to an August 1 statement. Bybit attributed this move to new regulatory developments from the French regulator, hinting at licensing challenges. The exchange expressed hope for a future return to the French market contingent on securing the necessary licenses.
In their statement, Bybit noted: “We apologize for any inconvenience this may cause and appreciate your support and cooperation as we step up our efforts to meet regulatory requirements. We look forward to serving you again in the near future once the appropriate licenses allowing us to do so have been secured.”
This announcement comes nearly three months after the French Financial Market Authority (AMF) warned French crypto investors that Bybit was not a registered platform in the country. The regulator also mentioned potential legal actions against the firm due to this lack of registration.
Impacted Services
Effective August 2, the crypto platform will restrict all French accounts to “Close-Only” mode, preventing users from opening new positions, purchasing products, or making deposits. This restriction applies to all Bybit services, including One-Click Buy, Bybit Card, P2P, Spot products, Derivatives, Copy Trading, Trading Bot, Bybit Earn, and Bybit Structured Products.
Starting August 13, Bybit will liquidate all remaining open positions and suspend all card services. From this date onwards, users will only be able to withdraw their assets and funds.
Impending MiCA Regulations
Bybit’s move coincides with the ongoing regulatory changes in Europe under the impending Markets in Crypto-Assets (MiCA) regulations. MiCA is a regulatory framework created by the European Union to standardize crypto regulations across member states. Last year, the European Parliament approved these rules in phases.
Several exchanges, including Coinbase, OKX, and Gemini, have secured appropriate licensing to serve their users within the region.
