Bybit Discusses Future with UK Regulators, No Exit Plans Despite Rules
Bybit, a significant player in the world of cryptocurrency exchange with a presence in the UK, has denied recent reports suggesting it will leave the UK market due to upcoming marketing regulations.
Ben Zhou, CEO of Bybit, clarified the company’s position, stating that they are currently in discussions with UK regulators to find solutions to the situation.
Zhou emphasized that compliance is Bybit’s top priority. Regarding the new crypto regulations in the UK, he mentioned that they are in talks with regulators to find the best way forward. No final agreement has been reached yet, and they will keep their community informed.
This statement contradicts earlier comments from Zhou, where he hinted at the possibility of Bybit exiting the UK market, even mentioning their recent departure from France.
The Financial Conduct Authority (FCA) is set to implement strict regulations on October 8, which have raised concerns among various crypto businesses operating in the UK. These rules aim to enhance transparency and accuracy in the marketing of crypto products and will introduce measures like a cooling-off period for first-time investors.
While Zhou’s previous remarks suggested a potential exit, his latest statements affirm Bybit’s commitment to remaining in the UK market. On September 14, Bybit reaffirmed its dedication to the UK market in a public statement.
The new regulations will particularly impact the practice of “reverse solicitation,” where exchanges could serve UK customers without actively soliciting them. Zhou pointed out that the FCA had contacted major players in the crypto industry, including Bybit, OKX, and Binance.
According to Zhou, the new law interprets the use of English language as an attempt to solicit users, making it challenging to claim reverse solicitation. He stated that many in the industry are grappling with how to comply with this new law.
Despite these challenges, Bybit is actively exploring ways to comply with UK regulations. The company is engaged in consultations, partnerships, and potential collaborations with local UK businesses to ensure the continuity of its services and compliance with regulations.
As the October deadline approaches, several major firms, including PayPal (for its crypto services) and Luno (crypto exchange), have already announced temporary suspensions of their UK services. Others, like Bybit, are in negotiations to determine the way forward. The impact of these regulatory changes on crypto operations in the UK remains uncertain.
Disclaimer: This article is for informational purposes only and should not be considered as legal, tax, investment, financial, or any other form of advice.
