Security Compliance
ByBit is lacking in information about its security. ByBit uses cold storage for assets but it’s not clear what percentage of funds are held in cold storage.
For users that want to secure their account, they can set up two-factor authentication using Google Authenticator. Users will need to open this app and enter the code whenever they wish to withdraw from their ByBit account.
This year the Ontario Securities commission (OSC) accused ByBit of selling unlicensed securities to residents of Ontario. ByBit paid a $2.5M fine and has since restricted new account sign-ups from residents of Ontario.
It is standard practice to hold most digital assets in third-party cold storage and Bitvo is no exception. It holds 95% of assets in cold storage and 5% in hot storage.
Customers’ fiat funds are held in segregated bank accounts and they also have multi-layered firewall infrastructure to protect the exchange. They also have a third-party that screens any cryptocurrencies looking to be listed on Bitvo. They analyze the coin’s history as well as other factors and don’t list anything that doesn’t align with their policies. This scrutiny helps to protect their customers from investing in scam coins.
ByBit uses cold storage for assets but it's not clear what percentage of funds are held in cold storage.
Bitvo holds 95% to 100% of assets in cold storage and keeps customers' fiat funds in segregated bank accounts. Both platforms offer two-factor authentication for account security.
Regulatory Compliance
In a recent update, ByBit has announced its decision to exit the Canadian market by October 2023 due to Canadain regualtions.
Bitvo is registered with FINTRAC and is compliant with Canadian regulations.
ByBit had some compliance issues with the Ontario Securities Commission, leading to a fine and restrictions for new account sign-ups from Ontario residents
Contrarily, Bitvo maintains its status as a registered Money Service Business in Canada, adhering strictly to the FINTRAC regulations.
Customer support
ByBit has a helpful support centre on its website with numerous guides about crypto and how to use the exchange. You can also create a ticket on the website if you need to contact support. The chat support helped me within an hour and I had an issue with the withdrawal of TONCOIN.
Bitvo has 24/7 support including live chat, email, and phone support. Bitvo is the first cryptocurrency exchange we’ve reviewed that has a phone support option, so this is a big plus when you need urgent help.
Both exchanges provide customer support, with ByBit offering a support center with guides and a ticket system.
Bitvo stands out by offering round-the-clock support through live chat, email, and uniquely, phone support, positioning it among the rare exchanges that provide such a comprehensive service.
Conclusion
Both Bitvo and ByBit are robust crypto exchanges each with their own strengths. Bitvo shines with its Canadian compliance, strong customer support, and unique features like the Bitvo Cash Card. However, if we must choose a winner, ByBit gets the edge due to its larger selection of tradable cryptocurrencies, higher app ratings, and global presence, despite its compliance issues in Ontario. It's important to remember that both platforms have their own strengths and the choice would largely depend on individual trading needs and preferences.
Initially, we recommended choosing ByBit over Bitvo for your cryptocurrency trading needs. However, Bybit has announced its exit from the Canadian market on 30 September 2023, citing regulatory uncertainties. As a result, we can't recommend Bybit over Bitvo.
If you find that neither ByBit nor Bitvo meets your requirements, we encourage you to explore our monthly-updated list of the best exchanges for Canadians to trade crypto. This list provides a range of alternative options that may better suit your specific needs and preferences.
