Bybit Prepares To Leave England Due To Tighter Crypto Rules
JAKARTA Global crypto exchange company Bybit is set to leave the UK market after regulators implemented new marketing rules in the coming weeks. Ben Zhou, co-founder and CEO of Bybit, expressed concern about strict regulations and plans to leave the UK.
UK financial regulator Financial Conduct Authority (FCA) plans to implement a new rule on October 8. The rule includes a time limit in advertising crypto products, with the aim of increasing transparency and accuracy in crypto marketing.
Zhou explained that this new rule will change the way product offerings are made. Although crypto derivative products have been banned in the UK since 2021, some exchanges can still serve British customers through reverse demand. However, the situation could potentially change on October 8.
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According to Zhou, the FCA has contacted a large number of major players in the crypto industry, including Bybit, OKX, and Binance, to inquire about their plans to face this new law. The rules have serious implications, especially if English is used in crypto product offerings. In this context, Bybit faces the greatest possibility of ending its operations in the UK.
George Morris, a partner at Simmons & Simmons, clarified that promotional regulations have existed in the securities industry for decades and are now also applied to crypto companies.
He added that the rules are complex and cover many aspects. In fact, having a website accessible to UK subscribers will be considered a promotion starting October 8. This regulation has an impact not only on British companies but also on anyone with websites accessible in the UK.
Although Bybit has developed a variety of products, its core business is still closely linked to derivative trading. Currently, the company owns about 23% of the global futures bitcoin market share, according to The Block Research data.