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.
Gate.io is quite a reputable exchange. Forbes Advisor gave it a 4.5-star rating and named it one of the best crypto exchanges. Gate.io utilizes hot and cold storage to keep customer funds safe. On its website, Gate.io says it is the first exchange to invest millions in security and law funds. They also claim to be fully compliant and certain features such as futures trading is not available to Canadians because of regulations. They can block your account at any time.
ByBit uses cold storage for asset protection and supports two-factor authentication (2FA) for account security. However, details on what proportion of funds are held in cold storage are unclear.
Gate.io is reported to invest significantly in security and law funds. They use hot and cold storage to safeguard customer assets and also support 2FA. However, the exchange has been known to block accounts randomly.
Regulatory Compliance
In a recent update, ByBit has announced its decision to exit the Canadian market by October 2023 due to Canadain regualtions.
Gate.io is not compliant crypto exchange in Canada.
ByBit had issues with the Ontario Securities Commission (OSC) and ended up paying a $2.5M fine. As a result, they've stopped accepting new accounts from Ontario.
Gate.io lists Canada as one of the disallowed countries. Therefore, they can block your account at any time, making it risky for Canadian users.
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.
There is a helpful help centre and blog on the Gate.io website which teaches you how to use their many features. They also have a live chat function and you can submit a support request when you’re logged in. Unfortunately, Gate.io has many bad reviews on Trustpilot with people complaining that they are unable to withdraw or that customer service is slow or does not respond.
ByBit has an efficient customer support system, reportedly helping customers within an hour on average. They also offer guides on crypto trading and usage of their exchange. Gate.io has a help centre and blog for users to understand their platform better. They also provide live chat support. However, they've received negative reviews on Trustpilot regarding slow response times and withdrawal issues.
Conclusion
ByBit and Gate.io both provide extensive trading capabilities and a wide array of cryptocurrency offerings. ByBit has a better mobile app experience, whereas Gate.io offers a wider array of altcoins. However, due to regulatory issues in Canada, both platforms come with their risks. While both are valid choices depending on your trading needs and risk tolerance, ByBit comes out slightly ahead due to its better customer support and mobile app ratings. Please note, it's important to move your assets to a personal crypto wallet for better security on both platforms.
Initially, we recommended choosing ByBit over Gate.io 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 Gate.io.
f you find that neither ByBit nor Gate.io 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.
