Originally published on: October 01, 2024
Gemini, the popular cryptocurrency exchange founded by Cameron and Tyler Winklevoss, recently announced its exit from Canada, leaving many users curious about the driving factors behind this decision. Meanwhile, regulatory changes in Canada have led to several exchanges withdrawing from the market.
Why are Canadian regulations affecting crypto exchanges’ decisions to leave the country? This in-depth analysis dives into the key elements shaping these developments.
Gemini’s departure coincided with an update from the Canadian Securities Administrators (CSA) on Sept. 26, which addressed stablecoins, also known as value-referenced crypto assets (VRCA). The ruling extended the deadline for compliance with applicable terms and conditions, causing disruptions in the industry.
As the CSA continues to enforce regulations, the landscape for crypto exchanges in Canada is shifting. While some, like Gemini, have chosen to leave, others are expanding their operations. For instance, Coinbase recently launched a stablecoin tied to the Canadian dollar, highlighting its commitment to the market.
With major players like Binance exiting due to regulatory hurdles, the crypto industry in Canada is at a critical juncture. While concerns around stablecoins and compliance persist, opportunities for growth and innovation also abound.
As regulatory pressures mount, cryptocurrencies face a changing landscape in Canada. Only time will tell how these developments will shape the future of crypto exchanges in the country.
