Ever asked yourself the question, “is Binance legal in Canada?” If so, then we’ve got the answer and much more in this article.
Binance is a cryptocurrency exchange that was made for crypto investors all around the world, especially those with skin in the game. They are known for their low trading fees and a broad selection of cryptocurrencies.
Do you know Binance has over 600 cryptocurrencies you can trade? Do you also know it is the largest crypto exchange in the world?
So, is Binance legal in Canada? Hang around and find out.
Is Binance Legal in Canada?
Binance Canada suspended operations in the province of Ontario in order to avoid regulatory action from the Ontario Securities Commission (OSC).
It is worth mentioning that the Ontario Securities Commission had taken action against some crypto exchanges in 2021.
These specific actions were taken because they were operating in provinces that weren’t in line with the OSCs Securities Act.
The crypto exchanges were KuCoin, Bybit, and Poloniex. This was after their unsuccessful attempts to meet a deadline set by the OSC for the 19th of April, 2021.
Following the actions taken against KuCoin, Bybit, and Poloniex, Binance made the following statement available on its site:
As part of our continuing compliance efforts, Binance has updated its Terms of Use to provide that Ontario (Canada) has become a restricted jurisdiction, effective 2021-06-26 at 3:59:59 AM (UTC).
Regrettably, Binance can no longer continue to service Ontario-based users.
Consequently, Binance customers who reside in Ontario were advised to withdraw their money from the exchange on or before the 31st of December, 2021.
There is nothing to worry about for now if you live in other provinces of Canada, as Binance services are fully available there.
So, you can keep trading as long as you want if you are not based in Ontario.
Top 3 Binance Alternatives in Canada
How Binance Compares to its Alternatives in Canada
There are many considerable alternatives to Binance in Canada. Among the very best available are Bitbuy, Coinsmart, and Newton.
These platforms have their own strengths and weakness that make them unique. This is why it is important to properly assess your options before choosing a crypto exchange: The table below should help you make a decision:
| Features | Bitbuy | Coinsmart | Newton |
| Supported coins | There are 17 coins | There are 16 coins | There are 71 coins |
| Security | 2FA
Cold storage |
2FA
Cold storage |
2FA
Cold storage |
| Fees | 0.1% – 0.2% Trading fees | 0.2% Trading fees | Spread of 0.5% – 0.7% |
| Apps | Android and iOS | Android and iOS | Android and iOS |
| Regulator | FINTRAC | FINTRAC | FINTRAC |
| CDIC Coverage | N/A | N/A | N/A |
| Funding Options | Interac e-Transfer,
Bank Transfer |
Interac e-Transfer,
Credit & Debit card, Bank Transfer, Bank draft
|
Interac e-Transfer,
Wire transfers, Pre-authorized bank transfers through Plaid, transfers from external wallets |
| Special offers and promotions | $40 bonus when you make a minimum initial deposit of $250 | $30 bonus when you make a minimum initial deposit of $100 | $25 bonus when you make a minimum initial deposit of $100 |
For more information on all the options available and more, check out our article on the best crypto exchanges in Canada.
What Is Binance and How Does It Work?
Binance is a cryptocurrency exchange that was made for crypto investors all around the world, especially those with skin in the game. They are known for their low trading fees and a broad selection of cryptocurrencies.
The trading platform, which is Domiciled in the Cayman Islands, has over 600 cryptocurrencies worldwide. It is the largest cryptocurrency exchange worldwide, so they’re a really big deal.
They offer a plethora of other services. These include an NFT marketplace, its special token (BNB), Binance Smart Chain (which is a well-known blockchain), services especially for staking, and a peer-to-peer desk for trading.
Binance Pros and Cons
- Biggest crypto exchange in the world; trade volume-wise
- Very low fees of 0.1% with a further 25% discount if you pay with BNB (their coin)
- The mobile app is available for iOS and Android devices
- 600+ cryptocurrencies are available on the exchange
- Features like staking, an NFT marketplace, and margin/futures trading are available
- The platform can be confusing, especially for new or inexperienced users
- Customer service is not particularly impressive
- There is no built-in digital wallet
What Can You Trade on Binance?
The financial instruments and the digital assets you can buy and sell on Binance include:
- Cryptocurrencies
- Futures
- Derivatives
Cryptocurrencies Available on Binance
With 600+ available, these are some of the very best:
If you want to know the best crypto to buy, check out our article. Also, if you’ve ever asked yourself, “what is the next Bitcoin?”, we’ve got you covered.
Binance Canada Fees
At the moment, they do not charge a deposit fee. Also, Binance’s withdrawal fee is a flat rate paid by users to cover the costs of transactions incurred from moving the crypto from their Binance.
In general, the fees on Binance are detailed below:
- Trading Fees: 0.02-0.10% per trade
- Debit and Credit Card Fees: 3-4.5%
- Wire Transfer Fee: $15
- Crypto Conversion: Not applicable
- Other Fees: 0.50% for Instant Buy or Sell
Binance Trading Experience
Even though using Binance might be challenging at first for a beginner, the result can eventually prove to be rewarding. Here are some of the features you will get accustomed to and how the experience of using them is likely to be.
- You will have access to charting tools with exponential moving averages and moving averages alike.
- You can carry out trades using the app, website, or desktop app. Mastering all of them might be daunting at first, but they are quite easy to use when you get used to them.
- You can have access to your history of trade and portfolio. In addition, price charts and order books can be viewed.
- Order types like a limit order, stop order, stop-limit order, stop-market order, and trailing stop order are available. You can also access several trading views such as classic views (and margin views as well).
How To Use Binance In Canada: How To Open a Binance Account
To use Binance in Canada, you must first open an account If you want to open a Binance account, the following steps should do just fine:
Step 1: Go to the Binance Website
Step 2: Click on “Get Started”. The button can be found in the top right-hand corner of your screen. Then, enter the required information.
The process of registration may take a few minutes because Binance has to verify all the information you provided.
Step 3: Enable 2-Factor Authentication
Step 4: Link your preferred payment method
Step 5: Now, you can deposit funds and begin trading
Is Binance Safe?
Yes. Binance holds the majority of its digital assets in cold storage offline. Two-factor authentication (also known as 2FA) is in place for extra safety.
In addition, account managing services and Binance’s Safe Asset Fund for Users (SAFU) feature are there to help keep your digital assets out of the reach of hackers.
As a user, you are expected to:
- Enable the anti-phishing code feature
- Update antivirus software when due
- Utilize a VPN if using internet connections that are not trusted
- Utilize incognito browsers without extensions and browser plug-ins.
To know more about the most reliable crypto wallet in Canada, check out our detailed article on the subject.
Final Thoughts on Is Binance Legal in Canada
In Ontario, Binance suspended operations in order to avoid regulatory action from the Ontario Securities Commission (OSC).
The Ontario Securities Commission had taken action against some crypto exchanges in 2021. These specific actions were taken because they were operating in provinces that weren’t in line with the OSCs Securities Act.
There is nothing to worry about for now if you live in other provinces of Canada, as Binance services are fully available there.
As you must have noticed, Binance is a pretty big deal. By trade volume, it is the largest crypto exchange in the world.
Even though it is easier for crypto veterans to navigate the platform, newbies and curious cats can also use it.
With competitive fees and over 600 different coins available, it is definitely an option to consider. Features and options like staking, margin trading, NFT marketplace, and futures trading are also at your fingertips.
FAQs on Is Binance Legal in Canada?
Is Binance Legal in Ontario?
No. Binance suspended operations in the province of Ontario in order to avoid regulatory action from the Ontario Securities Commission (OSC).
Consequently, Binance customers who reside in Ontario were advised to withdraw their money from the exchange on or before the 31st of December, 2021.
Is Binance Good for Canada?
Yes for the most part. Binance is a great cryptocurrency exchange with a wide selection of coins.
However, it was banned by the Ontario securities commission for failing to adhere to regulations. Therefore, Ontario residents are not advised to conduct business with Binance.
Where Are the Places Binance Is Banned?
Binance has been restricted, issued warnings, or banned in the jurisdictions outlined below:
Ontario: As already discussed in this article, Binance is not legal in the province of Ontario.
United Kingdom: In the UK, Binance Markets limited wasn’t given a go-ahead to provide business in June of 2021, as stated by UK’s Financial Conduct Authority (FCA).
United States: Binance is not legal in the U.S. It is currently subject to investigations. However, Binance.US is available to Americans as a standalone entity.
Other countries include Thailand, Malaysia, and Italy.
When Will Bitcoin Be Legal in Ontario?
There is no definitive answer to this question. So, Ontarians have to be patient.
However, Binance can take some pointers from how it handled being banned in the U.S. by setting up a standalone entity that can serve the residents in Ontario.
Binance was banned in 2019 in the US, but Binance.US (which is a special platform designed for Americans only) operates in 43 states.
Is Binance Good for Beginners?
The Binance platform can be easy to use. However, the complexities of the user experience can be overwhelming for a newbie.
Binance works better for people who know the ins and outs of cryptocurrency jargon and investment tools. If you can’t deal with the complexities, you can start with another exchange and move to Binance when you can.
Hi, I'm Adeola Adegoke. I am a licensed Insurance Broker in Manitoba, and I hold a master’s degree in Mathematical Sciences (with a major in Financial Modeling) from the African Institute for Mathematical Sciences (AIMS), Tanzania.
Also, I have a second master's degree in Statistics from the University of Regina, and I am currently pursuing my Ph.D. in Statistics at the University of Manitoba.
The primary purpose of Money Reverie is to help everyday Canadians make better financial decisions by providing up-to-date financial news and information, reports, product reviews, and government programs.
