Canada establishes regulatory framework for crypto exchanges

The Canadian Securities Administration (CSA) and the Investment Industry Regulatory Organization of Canada (IIROC) recently issued a consultation requesting the opinion of the fintech community on the requirements to regulate cryptoactive platforms.

Obviously, exchanges with cryptocurrencies offer settle innovative risks and for this reason the entities decided to apply the securities laws where they may be applicable. Since digital currencies are securities and derivatives traded on the stock market, therefore they would be subject to the corresponding regulations.

Government institutions claim that the platforms of the cryptographic ecosystem are naturally hybrid. They can carry out functions of one or more market participants; including alternative trade, exchanges, distributors, custodians and compensation agencies.

In consideration of the foregoing, Canada states is preparing a set of specific regulatory requirements to address the risks and characteristics of crypto.

L.Sáenz

Source: Diario Bitcoin