Regulators launch consultation on framing cryptoactifs

Les régulateurs lancent des consultations sur l’encadrement des cryptoactifs

Photo: Nhac Nguyen Agence France-Presse
No platform is currently recognized as a stock Exchange or otherwise authorized to exercise an activity of a market or of broker-dealer in the country.

The canadian regulatory agencies of the securities industry will gather comments from the various stakeholders in the industry on the rules that should be put in place for trading platforms cryptomonnaies such as bitcoin, ethereum and ripple.

Provincial agencies, represented by the canadian securities administrators (CSA) and the canadian regulator of the securities trade (IIROC), have published today a consultation document spouse to this effect.

“Regulators around the world are currently considering major questions about the regulation of cryptoactifs, which includes the appropriate rules and regulations of the platforms,” says the consultation document.

To better understand the functioning of the cryptomonnaies

The document adds that” at least some of the cryptoactifs well-established […], as the bitcoin, are not at the present time, as such, of securities or derivatives. Instead, they have features similar to those of goods existing, such as the currencies and the precious metals, ” continues the document.

No platform is currently recognized as a stock Exchange or otherwise authorized to exercise an activity of a market or of broker in the country, says the document. “Therefore, the CSA have invited the Canadians to be cautious when they acquire cryptoactifs. “

A publicized case

The consultation document does not address in any platform in particular, but its publication follows the problems of the high profile cases of QuadrigaCX, one of the largest trading platforms of cryptomonnaie in Canada.

QuadrigaCX and its affiliates, have obtained court protection from their creditors in Nova Scotia, last month, after their chief executive officer and sole director, Gerald Cotten, died in December at the age of 30 years, during a trip in India. According to the court documents, Mr. Cotten was the only person to have the access codes encrypted needed to access $ 190 million in bitcoins and other cryptomonnaies stuck in the digital wallets offline of QuadrigaCX.

The consultation paper, CSA and IIROC invites interested parties to submit written observations on various issues before 15 may. The answers will help the regulatory authorities to develop a new policy framework for the trading platforms of cryptoactifs. Among other things, the document asks whether it is appropriate that the platforms define the rules for their own markets. The document also asks what standards should be in place to limit the risk of loss or theft of the cryptoactifs, and what type of insurance coverage, the platforms should be required to obtain.