The cryptocurrency exchange Bybit has informed its users in France of the cessation of all services from January 8, 2025. The company attributed this decision to changes in local legislation.
Affected users have been advised to withdraw their assets before the service termination.
After the withdrawal closure, all accounts with assets of 10 USDC or less will incur a penalty of 10 USDC and will be permanently closed.
Accounts holding more than 10 USDC will undergo a mandatory conversion of all assets into USDC, which will then be transferred to the custody service Coinhouse at the client’s expense. The exchange will not charge for the conversion and transfer.
On August 2, 2024, Bybit announced that French users could no longer open new positions. On August 13, remaining trades were automatically closed.
The company’s withdrawal from the French market is linked to stricter licensing requirements under the European MiCA legislation.
The new regulatory demands are impacting all sectors of the crypto industry within the EU.
According to Tether CEO Paolo Ardoino, MiCA poses a “systemic risk” to stablecoins and the banking system. MakerDAO founder Rune Christensen believes it will also affect DeFi.
Earlier, on December 1, due to MiCA restrictions, the exchange Coinbase halted rewards payments for USDC holders in Europe.