Cryptocurrency exchange Bybit has notified French users that all services will cease on January 8, 2025. The decision was attributed to changes in local legislation.

Affected users have been advised to withdraw their assets before the service shutdown.

After withdrawals are disabled, accounts with balances of 10 USDC or less will incur a 10 USDC penalty and will be permanently closed.

For accounts with balances above 10 USDC, all assets will be forcibly converted into USDC and transferred to the custody service Coinhouse at the user’s expense. Bybit clarified that it will not charge fees for conversion or transfer.

On August 2, 2024, Bybit announced that French users could no longer open new positions. By August 13, all remaining trades were automatically closed.

The company’s decision to exit France is linked to stricter licensing requirements under the European MiCA regulation.

The new regulatory framework is 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 the DeFi sector.