Paxos Exits Canadian Market, OKX and dYdX Follow Suit

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• Paxos is exiting the Canadian market, asking users to withdraw their funds before June 2, 2023.
• The company cited possible cooperation with regulators and “enhanced investor protection commitments” from the Canadian Securities Administrators (CSA) as factors for its withdrawal.
• Companies like OKX and dYdX have also left the Canadian market due to its strict regulatory policy.

Paxos Set To Exit Canadian Market

Stablecoin issuer Paxos is the latest company to withdraw its services from the Canadian market while stating that it may return to Canada following possible cooperation with regulators. Paxos has asked its users in Canada to withdraw their funds from the platform at their “earliest convenience,“ adding that customers will not be able to carry out transactions on their accounts from June 2, 2023. However, any Paxos account without funds will be automatically closed on May 9, 2023, as stated on the company’s website.

Reason For Withdrawal

The stablecoin issuer did not state the exact reason for its departure but citing possible cooperation with regulators and “enhanced investor protection commitments“ from the CSA as factors for its withdrawal.

Other Companies Withdrawing Services From Canada

OKX and dYdX have also withdrawn their services from Canada due to its strict regulatory policy. In February 2023, the CSA issued a notice asking cryptocurrency exchanges willing to operate in Canada will have to make „enhanced investor protection commitments,“ which will come in the form of „an enhanced pre-registration undertaking“ while working on their registration process. Crypto companies unable or unwilling to make such a provision will have to off-board Canadian users and prevent them from accessing their services.

Advisory On Crypto Fraud

Canada has also alerted citizens about crypto fraud that caused $1 billion losses across America over time.


Paxos hopes of returning back into Canada’s market depends upon successful cooperation with regulators by making certain commitments towards enhanced investor protection in line with country’s regulations while other companies like OKX and dYdX have already withdrawn their services owing to stringent policies of country’s regulator

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