Bybit Gains Crypto License in Cyprus

Crypto exchange Bybit has gained a license for crypto exchange and custody services in Cyprus, the company said in a statement on Monday.

The Dubai-headquartered firm said the move shows its commitment to compliance with local rules. The license strengthens the exchange’s presence in the European Union (EU) after it faced regulatory scrutiny in Japan and exited Canada, and the U.K.

“This landmark is a testament to Bybit’s commitment to adhering to robust regulatory frameworks while expanding our global presence,” Ben Zhou, Bybit’s co-founder and chief executive officer, said in a statement. “We wholeheartedly support the regulatory objective of building a cryptocurrency industry that is both compliant, secure, and transparent.”

Companies in the European Union are preparing for new rules known as the Markets in Crypto Assets regulation, MiCA, that will allow them to serve the whole bloc with a license from a single member state. Cyprus is one of the EU members to introduce an advance registration regime before MiCA takes effect in 2024.

Cyprus was the home of FTX’s EU arm, until its license was withdrawn following the exchange’s abrupt collapse in November. Binance recently sought to withdraw its status in the country as part of an apparent regulatory consolidation anticipating MiCA.