Bybit, a global cryptocurrency exchange has announced its temporary suspension In India. This decision to suspend its trading services in India came due to regulatory developments.
The exchange will restrict several activities, including cryptocurrency trading, new account openings, and placing orders on other exchange products effective from January 12, 2025, at 8:00 AM UTC.
Bybit released an announcement today, and emphasized its commitment to operating in “full compliance with all applicable rules and regulations.” They have also explained that the decision aligns with its goals of adhering to regulatory standards. This decision was also made following recent actions by the Indian authorities. Fortunately, users will still be able to withdraw their funds without restrictions although the trading services are halted.
In terms of the existing trade positions, they will be put into “Close-Only” mode and thus will allow users to manage and close their positions. However, modifications and additional trades shall be prohibited. In order to obtain registration as a virtual digital asset service provider, the exchange said it is actively working with Indian regulators and expects to finish this process in the upcoming weeks.
This development represents just another example of Bybit’s regulatory difficulties in international regions. Bybit stopped operating in France in August 2024 because of noncompliance, but it is still working to get a license there. Furthermore, by the end of December 2024, the Security Commission of Malaysia had directed to stop operations and cited its unregistered status.
Bybit is still dedicated to overcoming regulatory obstacles in order to grow its business in spite of these setbacks. However, as they wait for more information from the exchange, Indian users would have to temporarily refrain from making any new trades.
The announcement emphasizes how authorities are tightening laws to protect markets and guarantee compliance, which puts crypto exchanges under more scrutiny globally.
