Kucoin and Bybit are charged by Canadian regulator OSC

Kucoin and Bybit are charged by Canadian regulator OSC

Two bitcoin trading platforms have been charged by the Ontario Securities Commission (OSC). The Ontario capital markets are permanently off-limits to Kucoin. Bybit has committed to taking action to follow rules and sign up with the OSC.

The Ontario Securities Commission (OSC) announced the results of legal actions against two foreign cryptocurrency trading platforms operating within its authority on Wednesday.

The Canadian regulator stated that "Bybit and Kucoin both run unlicensed crypto asset trading platforms and permitted Ontario investors to trade securities without a registration or any exemption from the prospectus requirements."

The OSC was successful in obtaining orders permanently prohibiting Kucoin from taking part in the capital markets of Ontario and ordering Kucoin to pay a CAD $2,000,000 administrative fine.

Regarding Bybit, the regulator reached a settlement with the exchange. In comparison to Kucoin, Bybit replied to the OSC's enforcement action, kept an open line of communication, provided the necessary data, and agreed to participate in registration discussions, according to the OSC.

The OSC issued a warning to cryptocurrency trading platforms in March of last year, noting that failing to begin registration conversations with it by April 19, 2021 could result in legal action. These platforms trade securities or derivatives in Ontario.

The Canadian authority said, despite this warning, Bybit and Kucoin continued to operate in Ontario and failed to alert the OSC by the time.