The Winklevoss-led exchange is shutting down at the end of the year
Cryptocurrency exchange Gemini has informed its Canadian customers that they need to withdraw their funds and empty their accounts by the end of 2024. In an email sent to users yesterday, the company, founded by the Winklevoss twins, announced that all accounts in Canada will be closed by December 31. Customers were given a 90-day period to remove their assets from the platform.
This decision comes after recent regulatory changes by Canadian financial authorities. In February, the Canadian Securities Administrators (CSA) introduced new rules that require crypto trading platforms to sign a pre-registration undertaking (PRU) to continue operating in the country. These regulations also impose restrictions on the use of stablecoins for Canadian clients, requiring approval from the CSA before they can be purchased or deposited.
The new rules were implemented to strengthen investor protection following several high-profile collapses of crypto platforms, including Voyager Digital, FTX, and Celsius Network. Although Gemini initially complied with the new regulations and submitted the required pre-registration in April, it has now decided to cease operations in Canada.
Gemini’s exit follows the path of other major crypto exchanges like Binance, which left the Canadian market earlier this year in response to the same regulations. Other platforms, including OKX, Bybit, and Paxos, have also pulled out.
Despite filing for pre-registration and initially viewing Canada as an essential market for international expansion, Gemini’s departure signals the growing impact of Canada’s tightened regulatory landscape on the crypto industry. Canadian users are now left with a shrinking number of exchange options as platforms reevaluate their operations under the country’s new rules.
