- Coinbase has registered as the first international crypto-exchange in Canada
- A legal dispute with the SEC continues as the judge rules against Coinbase’s motion
Amidst the ongoing legal battle with the U.S. Securities and Exchange Commission (SEC) where Coinbase faced a setback, a ray of hope emerged for the company with its recent registration in Canada. This development represents a notable step in the company’s global expansion efforts, particularly in light of increasing regulatory hurdles in its native U.S. market.
Remarking on the same, Coinbase in its recent blog post noted,
“Coinbase has officially been registered as a Restricted Dealer by the Canadian Securities Administrators (CSA).
This marks a significant milestone for Coinbase, positioning it as the largest and first international cryptocurrency exchange to be registered in the country.
It further underscores how the U.S. has emerged as one of the most aggressive enforcers of legal action against crypto-companies, as evidenced by the SEC filing lawsuits against major players like Coinbase and Binance.
Coinbase wins as Binance ceases operations
In response to the evolving regulatory landscape, Canada implemented new guidelines for crypto-exchanges last year. These regulations included restrictions on the amount certain investors can invest in cryptocurrencies and the mandatory registration of crypto-firms.
Remarking on the same, Faryar Shirzad, Chief Policy officer at Coinbase, noted,
“We were really lucky to have a partner like The Ontario Securities Commission and the CSA…to meet all the expectations that Canadian regulators have.”
On the contrary, Binance ceased its operations in Canada, citing the increasingly challenging regulatory environment as the reason for its decision. This highlights Coinbase’s continuous efforts since March 2023 to adhere to regulations, while achieving operational excellence.
Coinbase’s global expansion amidst legal challenges
Despite approvals in several countries, including France, Spain, Singapore, Italy, Ireland, and the Netherlands in 2023, Coinbase is still locked in a legal battle in the U.S.
Recently, a federal judge overseeing the SEC’s lawsuit against Coinbase ruled the SEC’s arguments credible, allowing the case to proceed. Hence, Coinbase’s motion to dismiss the lawsuit entirely was denied, reflecting the ongoing debate among regulators and policymakers on crypto-regulations.
