Crypto Exchange Gemini To Exit Canadian Market In December 2024: Report

Gemini, the cryptocurrency exchange founded by the Winklevoss twins, has informed its Canadian users that it will cease operations in the country on December 31, 2024.

This follows the exits of OKX, Paxos, Bybit and Binance from the Canadian market.

Users have 90 days to withdraw assets

In a September 30 email to users, the exchange stated that all accounts would be closed at the end of the year, giving them 90 days to withdraw their assets.

“Beginning December 31, 2024, Gemini will close all customer accounts in Canada with limited exceptions. As a result, we will close your Gemini account,” the company said.

Gemini’s exit from the country responds to regulatory changes introduced by the Canadian Securities Administrators (CSA) earlier this year. On February 22, the agency issued a notice requiring crypto trading platforms to sign a pre-registration undertaking (PRU) to maintain their operations.

These regulations also impose restrictions on stablecoins, preventing Canadian customers from purchasing or depositing them without prior approval from the CSA.

The new framework follows a series of high-profile insolvencies in the crypto sector, including Voyager Digital, Celsius Network, FTX, BlockFi and Genesis Global. According to the CSA, the rules were implemented to increase investor protection.

As part of this mandate, a deadline of April 30, 2024 was set for Registered Crypto Trading Platforms (CTPs). After that date, these platforms would be prohibited from allowing customers to purchase, deposit or enter into contracts for value-referenced crypto assets (VRCAs) linked to a single fiat currency unless they meet the requirements set out in the notice.

This deadline was initially extended to 31 October 2024, and has now been further pushed back to 31 December 2024, giving CTPs more time to comply or propose alternatives to address investor protection issues.

Exit from Canada’s major stock exchanges

Gemini initially responded positively to the new requirements. In April, the company filed for pre-registration on April 13, with a spokesperson noting that Canada was “one of the most important and developed markets in the Americas” and had played an “essential role in ‘Gemini international expansion’. Other exchanges, such as Kraken and Binance, also filed theirs following the CSA mandate.

However, some, such as Binance, later reversed their decision and announced their exit from the country in May. OKX, Paxos, Bybit and dYdX also left the Canadian market after the regulator enacted the new requirements.

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