The Ontario Securities Commission, or OSC, imposed financial sanctions on Bybit and Kucoin, alleging violations of securities laws and the use of unregistered platforms to trade crypto assets.

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In a statement Wednesday, the Ontario regulator said it received an order fined over $1.6 million in Kucoin and barring the exchange from participating in the province’s capital markets. In a separate decision, the OSC announced that Bybit gave out about $2.4 million and paid the regulator $7,724 as part of the costs of the investigation. Both firms allegedly failed to comply with Ontario’s securities laws, but only Bybit “responded to the OSC’s enforcement actions, maintained an open dialogue, provided information requested, and committed to participate in registration discussions.”

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“Foreign cryptoasset trading platforms that want to operate in Ontario must play by the rules or face enforcement action,” said OSC Director of Enforcement Jeff Kehoe.

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The regulator’s move is the latest in a series of warnings and lawsuits taken against crypto exchanges that offer services to Ontarians. In March 2021, the OSC set a deadline for registering crypto firms operating in the province by April. According to the regulator, Bybit “will cease operations in Ontario” if the firm cannot register.

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Both Bybit and Kucoin allegedly failed to comply with the securities regulator, leading to hearings and other enforcement action starting in June 2021. The OSC has already initiated regulatory action against crypto exchanges Poloniex and OKEx for similar violations of securities laws.

As of June 1, eight companies listed as registered platforms for trading crypto assets in Ontario, including Fidelity Digital Assets, Bitvo and Bitbuy.