Security Compliance
ByBit's security record now carries a major asterisk. In February 2025, attackers linked to North Korea's Lazarus Group exploited ByBit's multi-signature wallet transfer process and stole roughly $1.5 billion in Ethereum, the largest crypto theft ever recorded. To ByBit's credit, no customers lost funds: the exchange covered all losses from its own liquidity and replenished reserves within about 72 hours, a crisis response widely considered the best the industry has seen. Still, the breach shows that even cold storage and multisig setups can be defeated. Users can secure their accounts with two-factor authentication via Google Authenticator. ByBit also previously ran into trouble in Canada specifically, paying a roughly $2.5 million penalty to the Ontario Securities Commission in 2022 for operating without registration.
BitMEX's technical security record is genuinely strong: it has never been hacked, keeps all bitcoin in cold storage with multi-signature wallets, and has employees manually audit withdrawals. Its regulatory record is another matter. BitMEX and its founders pleaded guilty to violating the US Bank Secrecy Act for failing to run an anti-money-laundering program, the company was fined $100 million in January 2025, and its three co-founders were pardoned by President Trump in March 2025. Funds on the platform have historically been safe from hackers; the risk was always regulatory.
Both ByBit and BitMEX have a strong focus on security. ByBit uses cold storage for assets and offers two-factor authentication, though detailed information about its security measures is not explicitly provided. BitMEX, on the other hand, utilizes a multilevel security system, including multi-signature deposits and withdrawals, offline storage, and employee access requiring multiple form factors. Since its launch in 2014, BitMEX has not suffered any major security breaches, underscoring its robust security protocols.
Regulatory Compliance
ByBit exited the Canadian market in 2023 due to Canadian regulations and Canada remains on its restricted jurisdictions list. Notably, ByBit has since obtained licenses elsewhere, including a MiCA license serving the EEA through ByBit EU and a UK relaunch in late 2025, but it has shown no intention of registering with Canadian regulators.
BitMEX initially restricted only Ontario and Québec, but as of late 2023 its Restricted Jurisdiction Policy lists all of Canada as restricted. Its US legal troubles have concluded with guilty pleas, a $100 million fine and subsequent presidential pardons for the founders. There is no indication BitMEX intends to register with Canadian regulators or return to the Canadian market.
In terms of regulatory compliance in Canada, both ByBit and BitMEX have encountered challenges with the Ontario Securities Commission. ByBit announced its decision to exit the Canadian market entirely by October 2023, while BitMEX does not offer its services to residents of Ontario due to regulatory constraints. For the rest of Canada, both platforms can be accessed, but users must ensure compliance with local laws and regulations.
Customer support
ByBit has a helpful support centre on its website with numerous guides about crypto and how to use the exchange, plus ticket-based and chat support. For Canadians this is academic, since the platform is off-limits entirely.
BitMEX offers support via a contact form on its website and has a detailed FAQ section. For Canadians this is academic, since the platform is off-limits entirely.
ByBit offers a comprehensive support center on its website with numerous guides and a ticketing system for user queries. In contrast, BitMEX provides customer support via email and a detailed FAQ section on its website. Both platforms strive to respond to customer inquiries in a timely manner.
Conclusion
Both ByBit and BitMEX are reputable exchanges offering a variety of features for cryptocurrency traders. However, given ByBit's broader range of cryptocurrencies, user-friendly features, and availability in more parts of Canada, ByBit emerges as the winner in this comparison. Its focus on user experience and versatile platform design make it a suitable choice for both beginner and experienced traders in Canada.
Initially, we recommended choosing ByBit over BitMEX 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 BitMEX.
If you find that neither ByBit nor BitMEX 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.
