In a move aimed at providing clarity and guidance to crypto asset trading platforms, the Canadian Securities Administrators hasThis development follows the CSA’s earlier reaffirmation, on 22 February, 2023, that stablecoins, designed to maintain a stable value relative to a reference asset over time, may fall under the category of securities and/or derivatives.
As such, the CSA has indicated its willingness to potentially permit the continued trading of these value-referenced crypto assets. Naturally, this is subject to specific terms and conditions. He stated that the interim framework, which will evolve over time, establishes standards to ensure investors receive essential information about the assets they are purchasing, along with associated risks.Comments from Canadian crypto market participants and evolving international standards have contributed to the interim terms and conditions. They address investor protection concerns related to stablecoins and include several provisions.