Bybit, the second-largest cryptocurrency exchange by volume, said it has returned to the UK two years after tougher rules surrounding the promotion and marketing of crypto services forced it out.
The company, which boasts around 80 million users worldwide, restarted UK services including spot trading on 100 currency pairs on Thursday, the company said.
The Financial Conduct Authority (FCA) has been vigilant in regulating the advertising and marketing of crypto services to UK residents. Rules it introduced in October 2023 led to several crypto firms ending their operations in the country. However, a change of tone may be on the cards after the government said it intends to establish a crypto rulebook by 2027.
“The UK is home to one of the most sophisticated financial ecosystems in the world and its clear regulatory direction makes it an ideal environment for responsible innovation,” said Mykolas Majauskas, senior director of policy at Bybit. “In the coming months, we aim to embody this innovative spirit by introducing new products tailored to the needs of UK users, always within a framework that prioritizes transparency and compliance.”
Bybit, which is not itself licensed in the country, said it “operates under a framework designed to meet the FCA’s financial promotion standards and increase transparency for UK users.”
The exchange will operate and market its services under the auspices of London-based crypto exchange Archax, which has a special license from the regulator to approve financial promotions, proving a gateway through which unauthorized firms can market and provide services to UK consumers.
“Archax supports Bybit’s compliant access to the UK market and builds on our experience previously helping other leading crypto exchanges, such as Coinbase and OKX, to access the UK market without the need for their own authorization,” said Ben Brown, Chief Compliance Officer at Archax via email.
