Well-known crypto exchange, Bybit has finally exited the United Kingdom market. In a Thursday blog post, the exchange confirmed the development, stressing that it will no longer allow any form of account opening registration from residents of the country from October 1.
Bybit’s decision to discontinue its operations in the United Kingdom is not unconnected to growing regulatory concerns in the country. Don’t forget that the authorities in the U.K. want to introduce a new body of rules for crypto marketing and communication by businesses. In a June 2023 policy statement titled “Financial Promotion Rules for Crypto Assets,” the authorities outlined several rules geared towards guiding crypto marketing in the country. According to findings, the regulator in the country, known as the Financial Conduct Authority wants to fully implement the rules next month.
A few days ago, Bybit CEO, Ben Zhou revealed the company’s position on the new rules. He said the new rules would ultimately alter the way in which solicitation works. Then, he predicted Bybit’s exit from the country amid the regulatory concerns. Therefore, it is not surprising that his prediction is coming into fruition barely a few days later.
Bybit may return to U.K. in the future
Meanwhile, Bybit in its announcement, suggested a possible return into the United Kingdom market. According to the exchange, its exit amid the imminent introduction of the rules will enable it to focus its resources and efforts to meet up with the regulations in the future.
Nevertheless, existing users of the exchange will not be able to make any new deposits, create new contracts, or spike their existing positions for all products and services. But, they would be able to reduce or close their positions and as well withdraw their funds from its network. Bybit advised affected users to close down their positions before or on January 8, 2024. Upon the expiration of the deadline, existing positions will be liquidated so that users can be able to withdraw their funds.