Coinsquare has entered into an undertaking with the Ontario Securities Commission (OSC) and other Canadian securities regulators setting out how it will conduct its activities in digital assets moving forward. This undertaking complements Coinsquare's existing regulation in Canada under the Financial Transactions and Reports Analysis Centre of Canada (FINTRAC) and the Autorité des marchés financiers (AMF) of Quebec.
The undertaking sets out Coinsquare’s operating obligations while nearing completion of its regulatory approval by the Investment Industry Regulatory Organization of Canada (IIROC) and the Canadian Securities Administrators (CSA). The terms of the undertaking are substantially consistent with the operating obligations that will apply to Coinsquare upon final regulatory approval in Canada. The undertaking covers client account opening and monitoring, regulatory reporting, permitted products, and the like.
Coinsquare is among the first crypto asset trading platforms to deliver this form of undertaking. The regulators have indicated in a press release that similar undertakings will be required of other platforms pursuing securities licenses and IIROC membership. Coinsquare supports the OSC’s pre-registration undertaking approach, and believes it will provide clarity to the market on regulatory expectations regardless of the stage of a platform’s registration process. Coinsquare looks forward to the Restricted Dealer crypto platforms, and all other crypto asset trading platforms currently offering services to Canadians, achieving IIROC membership.
The undertaking is publicly available on the OSC website.