Jun 4, 2020
Canada Legalized the Digital Currency Industry
By Marko Vidrih on The Capital
Starting June 1, Canada introduced new regulatory rules. According to the changes, cryptocurrency companies — both local and foreign — belong to the category of companies that provide money transfer services.
Under the new rules, companies that make exchanges and money transfers, including cryptocurrencies, must be registered with the Center for Analysis of Financial Transactions and Reporting (FINTRAC) and comply with its requirements. Also, the implementation of cryptocurrency transactions worth more than CAD 10,000 requires reporting and user identification.
The new rules primarily apply to cryptocurrency companies that work with fiat currencies, for example, bitcoin terminal operators. According to Francis Pulio, an employee of the Canadian Bitcoin Embassy, the majority of industry representatives already comply with strict rules for identifying customers, as payment partners require them.
Author: Marko Vidrih
Featured image credit: Unsplash
