Bybit, a prominent cryptocurrency exchange, has expanded its operations by obtaining a license in Cyprus, signaling its commitment to global expansion while adhering to robust regulatory frameworks. The license granted by regulatory authorities in Cyprus enables Bybit to offer a comprehensive range of services, including crypto-to-crypto and fiat-to-crypto trading, financial services for crypto assets, and customized custody solutions for clients in Cyprus and other European Union member states.
In an official press release, Bybit emphasized that acquiring the license to operate a crypto exchange and provide custody services in Cyprus is a significant milestone. Bybit’s co-founder and CEO, Ben Zhou, expressed wholehearted support for the regulatory objective of establishing a compliant, secure, and transparent crypto industry, ultimately benefiting individuals seeking financial freedom.
Bybit’s statement highlighted Cyprus as a thriving hub for cryptocurrency activities, boasting a growing community of crypto enthusiasts and a favorable regulatory environment. The company recognizes the immense potential of the Cyprus market and aims to bring its advanced reliability and opportunities to the local digital asset community.
The acquisition of the Cyprus license comes shortly after Bybit’s decision to exit the Canadian market. The company cited the challenging regulatory environment in Canada as the reason behind this move. The Canadian Securities Administrators (CSA) had issued new guidance for crypto entities, mandating platforms to obtain approval from the regulator, which prompted Bybit’s withdrawal from the market.
Bybit Waxing Strong Post FTX Collapse
The Dubai-based crypto exchange, has made significant strides in expanding its services over the past few months. After enduring the challenges of the crypto winter and the collapse of FTX, led by Sam Bankman-Fried, Bybit underwent a reorganization that resulted in a 30% reduction in its workforce.
Nevertheless, the exchange has made a swift recovery and is now focusing on global expansion. In May, the exchange unveiled plans to offer crypto lending services to its users, further diversifying its offerings. Additionally, the company obtained an “in-principle” approval from Kazakhstan’s Astana Financial Services Authority (AFSA) to operate as a digital asset trading facility and custody services provider at the Astana International Financial Centre (AIFC). Furthermore, Bybit formed a partnership with Mastercard to introduce a new cryptocurrency debit card for convenient crypto payments.
According to an analysis conducted by Nansen, the FTX crash in November 2022 had a negative impact on the spot trading volumes of various cryptocurrency exchanges, including Bitfinex, Kucoin, Gate.io, and OKX. However, the exchange stood out as an exception, as it experienced a notable 7% increase in its spot trading volume following the unfortunate event.