Cryptocurrency exchange Bitstamp is set to halt its services for Canadian customers from January 8, 2024, as announced by Bobby Zagotta, Bitstamp USA CEO and global chief commercial officer.
Following this decision, all Canadian accounts will be deactivated, and customers have been advised to withdraw their funds and close their accounts before the stipulated date.
Despite this move, Bitstamp emphasizes its commitment to the safe return of assets, stating, “your crypto assets always remain yours.”
Bitstamp’s departure from Canada is not an outright exit but a strategic pause.
The company cites its ongoing expansion strategies and the need to concentrate on regions with favorable regulatory conditions as the primary reasons.
Zagotta mentioned, “We aim to revisit the Canadian market in the future.
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But at present, we can’t dedicate the necessary resources to meet new Canadian regulations.”
Furthermore, while refocusing on aligning with global regulations, Bitstamp remains dedicated to its international clientele.
Decisions about their operations in particular nations will hinge on regulatory dynamics and market scenarios.
This pivot in strategy is concurrent with Bitstamp’s reported endeavors to procure funding for scaling its worldwide operations.
There are indications that the exchange has been in fundraising mode since May 2023, with goals like introducing derivatives trading in Europe by 2024 and intensifying its footprint in the UK.
Established in 2011, Bitstamp stands as one of the pioneering cryptocurrency exchanges.
It has an extensive global reach, catering to countries like the US, Singapore, South Korea, and Japan, among others.
As per CoinGecko, Bitstamp’s daily trading volume is approximately $114 million. This figure, however, pales in comparison to its rival Binance, which boasts a daily trade volume nearing $4 billion.
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