Bybit halts crypto trading in India due to regulatory changes but will still process user withdrawal requests.
Bybit, a global cryptocurrency exchange, has temporarily suspended its crypto trading services in India due to regulatory developments.
Several services, such as cryptocurrency trading, account openings, and submitting orders through other exchange products, will be restricted by Bybit beginning at 8:00 am UTC on January 12.
In a Jan. 10 notification, the cryptocurrency exchange firm attributed the decision to its objective of operating in “full compliance with all applicable rules and regulations.”
The exchange also stated:
“Due to recent developments from Indian regulators and in continuation of previously implemented restrictions […] Indian users will temporarily be unable to open new trades or access any products on the Bybit platform.”
Trading services are suspended; however, withdrawals of user funds are not affected, according to the announcement.
In Europe, Bybit has also encountered regulatory pressure. The cryptocurrency exchange firm discontinued operations in France in August 2024 as a result of regulatory pressure.
The exchange stated that it is currently in the process of obtaining a license in the country, which will enable it to resume operations.
Bybit has been contacted by Cointelegraph for a response.
Bybit Anticipates Obtaining An Indian license In This “Coming Weeks”
According to the announcement, existing trading positions can still be managed, despite the fact that users of the exchange will be unable to place any new orders.
“Any existing derivatives position will be placed in Close-Only mode. This means you will not be able to add to or modify these positions, but you can still manage closing positions.”
The cryptocurrency exchange firm stated that it will persist in its collaboration with the regulator to complete its registration as a virtual digital asset service provider in India, which it anticipates will occur “in the coming weeks.”
After accusing the cryptocurrency exchange firm of operating an unregistered crypto exchange, Malaysia’s Securities Commission ordered the company to cease operations in the country at the end of December 2024.
Bybit CEO Ben Zhou was specifically instructed by the regulator to guarantee that the company adhered to all of the directives.
The commission confirmed that Bybit had complied as of December 27.
