Paxos announced on its website that it was withdrawing from the Canadian market.
Paxos is the latest digital asset firm to announce its exit from the Canadian market as regulatory pressure becomes increasingly harsh on the industry. In a statement, the company urged its customers to withdraw their money as soon as possible. Paxos will close unfunded accounts by May 9 and disable all trading operations on June 2. However, users can also withdraw their assets after June 2.
Left Canada on OKX and dYdX
Founded as the itBit exchange in 2012, Paxos has expanded its services to include digital asset brokerage, securities settlement, commodity settlement and PAX Gold, a gold-backed digital token.
While Paxos did not explicitly give increased regulations for its exit from the Canadian market, sources say the company left the country due to changes in crypto regulations. Paxos said in a statement on the subject: “Paxos is focused on serving institutional customers and their growth in the digital asset ecosystem. While our platform will no longer support Canadian customers in the near term, we will reassess our presence in this region as we partner with our customers’ evolving needs.”
The company stated on its website that it will reassess whether it is ready to re-enter the Canadian digital asset market in collaboration with the Ontario Securities Commission (OSC).
He recently announced his departure from Canada on OKX and dYdX. While OKX blamed the new regulations in a statement last month, dYdX said it hopes to re-enter the market when the regulatory climate changes.
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