Bybit's Account Deletion Block Sparks GDPR Controversy | Users Left Frustrated
Edited By
Anita Kumar
A wave of discontent is rising among Bybit users as the exchange actively blocks account deletions for certain users, in apparent violation of GDPR regulations. The backlash centers on those using copy trading and bot trading features who are unable to remove their data indefinitely.
Bybit recently introduced a "Delete Account" option, but for many, it’s not a genuine solution. Those linked to specific trading features are met with support that offers only account deactivation instead. This situation brings significant legal and ethical questions.
One user expressed dismay, stating, "I want to delete the account I created a few years ago; they are not letting me." Many others share similar concerns, highlighting a broader unease regarding centralized exchanges (CEX) in an era where decentralized options are on the rise.
Users Demand Accountability
The crux of the issue seems to be a lack of compliance with privacy laws. GDPR clearly outlines users' rights regarding their data, a point underscored by many frustrated users. While Bybit encourages contact with support for resolutions, it appears these customers are still at a standstill.
A community member noted that similar issues occurred years ago with Binance, which later rectified its practices. Current users seem to be hinting at possible legal actions. "I encourage you guys to create files to your local DPA, to make Bybit understand that blocking users from account delete is not something that should be done," one user wrote.
Growing Distrust in Centralized Platforms
The discomfort with Bybit reflects a larger sentiment about centralized exchanges. Some people argue that there are now plenty of decentralized exchanges (DEX) offering similar functionalities without these data retention concerns.
"Idk why people still bother with CEX in 2025. There are so many DEX's now that work just like CEX but are much more secure,” another commenter said.
This sentiment echoes broadly, hinting that the crypto community is shifting towards decentralized solutions, with trust in traditional exchanges waning.
Key Implications for Crypto Exchanges
💼 Users express mounting frustration over data retention issues.
📈 Legal experts may weigh in as GDPR violations could lead to sanctions.
🔄 A noticeable shift towards decentralized platforms could reshape the market landscape.
The situation continues to unfold, and it raises crucial questions about the ethical responsibilities of cryptocurrency platforms. Can Bybit respond effectively to these concerns, or will it lose credibility among users? As discussions shift, the demand for accountability within the industry grows.
Stay tuned for updates as this developing story progresses.
Trends on the Horizon for Crypto Platforms
There’s a strong chance that Bybit will face mounting pressure from users and regulatory bodies in the coming weeks. With the growing frustrations around account deletion and data retention, the probability of formal complaints escalating to local data protection authorities is high. Experts estimate that if Bybit doesn't publicly address these concerns promptly, it could jeopardize its credibility and lead to potential sanctions under GDPR. Additionally, as more users shift toward decentralized alternatives, Bybit might reconsider its policies to avoid a mass exodus. The focus on user autonomy and data ownership is likely to redefine the crypto market as exchanges adapt or risk being left behind.
Echoes from the Not-So-Distant Past
This situation bears a striking resemblance to the early days of social media platforms, particularly when companies faced backlash over privacy issues. In the late 2000s, prominent sites struggled to navigate user trust after data scandals emerged. Many people left these platforms for alternatives, questioning their data handling practices. Even giants like Facebook had to adapt their policies significantly to regain user trust. Just as users redirected their loyalty then, today’s crypto enthusiasts are quickly gravitating toward decentralized solutions, willing to abandon platforms that put profits above principles.