Breaking: QuadrigaCX Scandal Jolts Canada to Regulate Cryptocurrency Exchanges
Canadian regulators are looking
The infamous QuadrigaCX scandal has culminated in the losses of $150 million in user’s cryptocurrency funds. Now, Canada has called for “input” on tailoring new regulation to cryptocurrency exchanges operating within its borders.
Canada’s Securities Regulator and Investment Body Issue a Consultation Paper to Increase Investor Protection
Canada has held back on detailed cryptocurrency regulation. It currently adopts a wait and see approach and utilizes its existing securities laws and regulators. In this way, Canada monitors and guides emerging fintech and cryptocurrency businesses in the country.
An exchange’s entire funds vanishing as the founder dies without leaving access to cold cryptocurrency wallets could be a regulatory turning point for Canada. With the QuadrigaCX scandal growing and changing almost daily, Canada’s regulators nod to building “consumer confidence” and “investor protection” in the press release issued today.
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Canadian Securities Regulators are seeking input on the regulation of #Cryptocurrency #Exchanges, here is a link to the report in case you’re interested in providing a submission: https://t.co/UZomllOAG3
— Aaron Grinhaus 🇨🇦 (@A_Grinhaus) March 14, 2019
The Canadian Securities Administrators (CSA) and the Investment Industry Regulatory Organization of Canada (IIROC) have jointly published a consultation paper with which the pair seek “input from the fintech community, market participants, investors and other stakeholders.”
The paper questions how regulation could be tailored to Canadian cryptocurrency exchanges.