Cryptocurrency Firms In Canada Has Been Imposed A 30-day Deadline To Register
- The deadline for cryptocurrency enterprises to register in Canada was set at 30 days, as revealed by Canada.
- In accordance with the new legislation, businesses are not only prohibited from providing their customers with margin or leverage alternatives, but they are also need to adhere to requirements that are more stringent in terms of the segregation of their customers’ assets. their wares in the Canadian market.
It is reported that the deadline for cryptocurrency businesses to register in Canada has been set at 30 days.
Companies dealing in cryptocurrencies have reported receiving conflicting messages from various regulatory authorities around the world. Some nations have an open door policy toward cryptocurrency businesses, while others are actively working to stymie the expansion of the cryptocurrency industry.
The failure of two big cryptocurrency titans, Terra and FTX, has served as a warning to governing bodies, prompting them to take control. In one of its more recent actions, Canada has advocated for more stringent regulations to be imposed on crypto firms.
The deadline for unregistered cryptocurrency exchanges that are currently functioning in Canada has been extended to 30 days by the country’s securities regulators. Before they can sign up for regulatory oversight, cryptocurrency companies are obliged to make certain pledges.
Companies are required by these new requirements to comply to even more stringent guidelines on the separation of their customers’ assets. In addition, it is against the law for these businesses to provide their customers in Canada with the option of using margin or leverage.
The positions taken by various cryptocurrency companies have become less clear as a result of the stricter rules. Exchanges such as Binance and Coinbase have formally committed to operating in accordance with all of Canada’s regulatory requirements. Despite this, both Paxos and dYdX have made the decision to wind down their operations in Canada.
This piece of news comes at a time when government agencies in the United States, particularly the Securities and Exchange Commission (SEC), have stepped up their monitoring of the domestic cryptocurrency industry.
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