Coinbase Acquires Restricted Dealer License in Canada Amid US Regulatory Pressure
Summary:
Coinbase, a US-based cryptocurrency exchange, has obtained a restricted dealer license in Canada, allowing its two registered entities, Coinbase Incorporated and Coinbase Canada, to operate under the jurisdiction of the Canadian Securities Administrators. This move occurs as the firm faces regulatory challenges in its home country. Details are forthcoming as this news evolves.
Coinbase, the cryptocurrency exchange based in the United States, has recently acquired a limited dealer license in Canada, despite facing regulatory pressure in its home country. As CNBC reported on April 4, the company has now successfully gained registration in Ontario, Canada, as a limited dealer under the Canadian Securities Administrators (CSA).
The CSA's national registration data indicates two entities linked to Coinbase now officially registered in Canada. One of these entities is Coinbase Incorporated, categorized as a limited dealer, and the other is Coinbase Canada, which is registered as an international dealer.
The CSA defines limited dealer registration as a distinctive category of dealing registration specifically tailored for firms that don't comfortably fit into any existing category. The requirements for such firms are determined on an individual basis by regulators.
Legal intelligence source JD Supra states that international dealers are not permitted to engage Canadian clients in the trade of debt or equity securities from Canadian issuers, with the exception of government issuers.
As this news story continues to unfold, more details will be appended as soon as they become available.
Published At
4/4/2024 4:04:31 PM
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