Canada Releases New Cryptocurrency Guidance – Cryptocurrency Regulation

The Canadian Securities Administration (CSA) has issued new guidance for cryptocurrency trade.

The new Canada guidance came to light in the CSA’s publication named Guidance on the Application of Securities Legislation to Entities Facilitating the Trading of Crypto Assets.

It aims to determine the exact virtual currency trading platforms that are subject to derivative laws.

On a general note, the Canadian agency drew a thick line between trading platforms and holders of virtual assets. Accordingly, this line gives a distinction between platforms that make swift delivery of virtual assets. And those that wait for the users to request transactions.

Exchanges under the securities laws

The CSA analyzed trading on diverse platforms. The agency claims that some of them basically offer users either contractual rights or claims to a virtual asset. This means that they don’t transfer the crypto assets to users immediately. Thus, these platforms are subject to securities legislation. They also…