BitMEX to Ban Ontario Traders Soon
BitMEX, one of the most popular and oldest cryptocurrency derivatives exchanges, has just announced it will block users in a Canadian province.
As per a blog post published on Monday, August 24th, on the official website, customers based in Ontario, Canada, will not have access to the trading platform anymore, starting with September 1st of 2020.
New derivatives positions may not be opened after that date, but positions that are already open are allowed to run until January 4th of 2021, the post says.
The Reason for the Block is Unknown
BitMEX said it would force close positions open by January 4th and asked users to shut them down prior to the given date. A clear reason why the platform decided to block users in Ontario was not discussed, and not even brought up, and the exchange only said it was ‘mandated’ by the state’s securities regulator, the Ontario Securities Commission.
Ontario users that will try to register and trade on BitMEX after September 1st of this year would allegedly be in breach of the company’s Terms of Service, the blog post published by the exchange states.
More Compliant With the Regulators
The news comes after the sometimes controversial platform tried some moves to allegedly become more docile with regulators. The exchange has even brought in mandatory ‘know-your-customer’ verification procedures earlier this month.
The platform has completely banned U.S.-based users from its exchange website since 2015, and it also blocked traders based in a few countries, including Hong Kong, Bermuda, and Seychelles not long ago.
Established and based in Eden Island, BitMEX has, at times, been criticized for providing traders with high levels of leverage. The exchange’s parent company has not long ago changed its name to ‘100x,’ even though, at that time, it said its name was not a reference to leverage.
Eduard Watson Author
An experienced finance writer for more than 10 years, active industry watcher, and gadget enthusiast.