United States-based cryptocurrency exchange Coinbase has obtained restricted dealer licenses in Canada, marking a significant step in its global expansion strategy amid regulatory scrutiny in its home country.
Coinbase secured a new license in Ontario, Canada, registering as a restricted dealer under the Canadian Securities Administrators (CSA). The official announcement on April 3 highlighted the company’s commitment to regulatory compliance and operational excellence.
According to CSA’s national registration data, Coinbase Incorporated is registered as a restricted dealer, while Coinbase Canada is registered as an international dealer. Restricted dealer registration is tailored for firms that do not fit neatly into other categories, with specific requirements set by regulators.
Coinbase‘s entry into Canada is not its first move in the country. The exchange launched officially in Canada in August 2023 and expanded its services through a partnership with Peoples Trust Company, a local financial services firm.
As of April 2024, Coinbase has established a tech hub in Canada, employing nearly 200 full-time local employees, showcasing its commitment to the Canadian market.
Coinbase’s move comes as rival exchanges like Kraken also pursue registered dealer status in Canada. Kraken filed a pre-registration undertaking with the Ontario Securities Commission in March 2023, aligning with CSA’s new guidance for crypto asset trading platforms, including stricter custody standards and restrictions on leverage and stablecoin trading.
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