Canada is taking steps to better protect Canadian cryptocurrency investors in the aftermath of the FTX collapse.
The Canadian Securities Administrators , the council of Canada’s provincial and territorial securities regulators, issued an update to crypto trading platforms operating in the country.
The CSA said that the authority has been reinforcing its approach to the supervision of crypto trading platforms by expanding existing requirements. All crypto trading firms operating in Canada both local and foreign have to comply with newly expanded terms, which ban them from offering margin or leverage trading services to any Canadian clients.
The expanded terms also require crypto exchange services providers in Canada to segregate custody assets from the platform’s proprietary business.
The council emphasized that even with the adoption of these measures, crypto assets or any financial products related to crypto assets are high-risk investments, urging investors to only invest using a platform that is registered with CSA members.
