On March 14, 2019, the Canadian Securities Administrators (CSA)
and Investment Industry Regulatory Organization of Canada (IIROC)
jointly published a consultation paper (the Consultation Paper)
regarding the development of a regulatory framework for
crypto-asset trading platforms (Platforms) in Canada.
Background
There is presently no overarching regulatory framework for
Platforms operating in Canada. The CSA and IIROC are seeking input
from stakeholders to craft a suitable regulatory framework for
crypto-currency exchanges operating in Canada. On August 24, 2017,
the CSA published Staff Notice 46-307 - Cryptocurrency
Offerings (the CSA Notice) in response to an increase in
crypto-currency offerings which clarified that exchanges permitting
the trading of any crypto-currencies that qualify as
“securities” (e.g., coins, tokens) under applicable
securities legislation will be subject to Canadian securities law
requirements much like any other securities exchange. The