Canada clarifies guidelines for stablecoins trading | CPT PPP Coverage
Cryptopolytech (CPT) Public Press Pass (PPP)
News of the Day COVERAGE
200000048 – World Newser
•| #World |•| #Online |•| #Media |•| #Outlet |
View more Headlines & Breaking News here, as covered by cryptopolytech.com
Canada clarifies guidelines for stablecoins trading appeared on coinjournal.net by Benson Toti.
- Canadian securities regulator CSA has clarified terms and conditions for stablecoin trading on exchanges.
- Crypto platforms and issuers have to adhere to set conditions before they are allowed to offer stablecoin related services.
- Several crypto exchanges, including Binance, exited Canada earlier this year following CSA’s new stablecoin guidelines.
The Canadian Securities Administrators (CSA) has provided further guidance to the trading of stablecoins on crypto exchanges in the country. The update comes months after major exchanges, including Binance, halted operations in the country over regulatory developments.
Canada clarifies stablecoin trading rules
Although the CSA previously noted in an interim framework that stablecoins, which it terms as “value-referenced crypto assets,” may constitute securities or derivatives, its latest update include the acknowledgement that the asset is an important component of trading on crypto exchanges.
The guidance includes clarification on when crypto trading platforms and issuers of fiat-backed stablecoins can offer these assets to Canadian customers. Initially, the CSA said crypto trading platforms could be allowed to offer stablecoin deposits or purchases in cases where the asset is pegged to a single fiat currency.
Stan Magidson, CSA Chair and CEO of the Alberta Securities Commission, providers and issuers must adhere to transparency, particularly about their reserves and governance. He noted in a press release that these are “critical issues” that should be addressed in order to protect investors and market integrity.
“This interim framework, which we will build upon in the future, sets certain standards to help ensure that investors receive the information they need about the assets they are purchasing, including the risks associated with them,” Magidson added.
The latest clarification is in response to comments received from Canadian crypto market participants, the CSA said. The move is also a result of the push to have a framework that aligns with global standards and regulations.
This year, Binance, OKX and Bybit announced their exit from the Canadian market citing the regulatory environment.
Binance, the world’s largest crypto exchange by trading volume, pegged its departure on “new guidance related to stablecoins and investor limits”. Per the exchange, the requirements had made the Canadian market “no longer tenable” for business.
FEATURED ‘News of the Day’, as reported by public domain newswires.
View ALL Headlines & Breaking News here.
Source Information (if available)
This article originally appeared on coinjournal.net by Benson Toti – sharing via newswires in the public domain, repeatedly. News articles have become eerily similar to manufacturer descriptions.
We will happily entertain any content removal requests, simply reach out to us. In the interim, please perform due diligence and place any content you deem “privileged” behind a subscription and/or paywall.
CPT (CryptoPolyTech) PPP (Public Press Pass) Coverage features stories and headlines you may not otherwise see due to the manipulation of mass media.
First to share? If share image does not populate, please close the share box & re-open or reload page to load the image, Thanks!