The Ontario Securities Commission issued financial penalties against Bybit and KuCoin, claiming violations against securities laws and operating unregistered crypto asset trading platforms.
The Ontario regulator stated that it had acquired orders for banning KuCoin from participating in the province’s capital markets and fining the exchange for more than $1.6 million. The OSC also announced that, as part of a settlement agreement, Bybit expelled roughly $2.4 million and paid the regulator $7,724 as part of the costs of its investigation. Both firms supposedly failed to comply with Ontario securities laws, but only Bybit responded to the OSC’s enforcement action, maintained an open dialogue, provided requested information, and committed to engaging in registration discussions.
The decision by the regulatory body was the latest in a series of warnings and legal actions taken against crypto exchanges offering services to Ontario residents. In March 2021, the OSC issued a deadline for crypto firms operating in the province to register in compliance with securities law by April. According to the regulator, Bybit will halt its Ontario operations if the firm is unable to register.
