Bybit Temporarily Suspends Services for Indian Users Amid Regulatory Compliance Efforts
In a recent announcement, leading cryptocurrency exchange Bybit has disclosed its decision to temporarily suspend certain services for users in India. The move comes as the platform works towards meeting regulatory requirements to secure its registration as a Virtual Digital Asset Service Provider (VASP) in the country. This suspension will take effect from January 12, 2025, at 8:00 AM UTC, and includes restrictions on trading, deposits, and certain platform features, while withdrawals will remain operational.
Key Changes for Indian Users
Bybit’s decision reflects the evolving regulatory environment for cryptocurrency exchanges in India. The changes are as follows:
- Trading Services:
- Indian users will no longer be able to place new orders for any trading products, including both crypto and fiat.
- Existing derivatives positions will be placed in “Close-Only” mode, allowing users to close their positions but not modify or add to them.
- Deposits for both crypto and fiat currencies will be temporarily restricted.
- Copy Trading and Trading Bots:
- All master-follower relationships will be canceled, and any trading bots will be terminated by January 13, 2025, before 5:00 AM UTC.
- P2P Ads:
- All INR-related ads on the platform will be removed starting January 12, 2025, at 8:00 AM UTC.
- Campaign Participation:
- Users will no longer be able to complete any tasks for new or ongoing campaigns from the specified date.
- Bybit Card:
- All transactions made using the Bybit Card will be restricted.
Commitment to Regulatory Compliance
Bybit has emphasized its commitment to operating in full compliance with all applicable rules and regulations. The exchange is actively engaging with Indian regulators and anticipates completing the VASP registration process with the Financial Intelligence Unit (FIU) in the coming weeks. This effort is part of Bybit’s broader strategy to align with India’s evolving crypto regulatory framework.
Impact on Indian Crypto Traders
For Indian users, the temporary suspension of services may disrupt trading activities. However, withdrawals remain unaffected, providing users the opportunity to secure their funds during this period. The changes are also expected to drive interest in alternative trading platforms or decentralized exchanges as users adapt to the regulatory shifts.
Bybit’s Assurance to Users
Bybit has extended its apologies for any inconvenience caused and reassured users of its dedication to resuming full services as soon as possible. The platform’s proactive engagement with regulators reflects its intent to foster a compliant and secure trading environment for its users in India.
This temporary suspension highlights the growing significance of regulatory compliance in the cryptocurrency sector. As Bybit works to meet India’s regulatory requirements, the move serves as a reminder of the evolving landscape for crypto exchanges. Traders are advised to stay informed and explore alternative solutions during this transitional phase.
For further updates on this developing story, visit CryptoRaja.com for the latest news and expert guidance on navigating the Indian cryptocurrency market.
