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ARTICLE · 24 NOVEMBER 2022

Canadian Securities Regulators Issue Warning About Crypto Trading

On November 21, 2022, the Canadian Securities Administrators (the CSA) issued a warning to investors about elevated risks of trading crypto assets.

CanadaTechnology

On November 21, 2022, the Canadian Securities Administrators (the CSA) issued a warning to investors about elevated risks of trading crypto assets. The CSA statement warns that there are unregistered crypto asset trading platforms which may lack essential safeguards to protect investors' assets from loss, theft or misuse.

The statement also warns of elevated risks to investors of trading in crypto assets on platforms that are registered in Canada. Among other things, the CSA statement cautions that "generally speaking, the value and liquidity of crypto assets are highly volatile", that "registration cannot eliminate all risks associated with crypto asset trading platforms", and that "trading crypto assets is a form of do-it-yourself online investing [that] requires considerable time, knowledge, skill and research."

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