Connect with us

Published

on

<div>Canada 'got it wrong' labeling stablecoins securities — NDAX exec</div>

Tanim Rasul, chief operating officer at Canadian crypto exchange NDAX, said Canada “got it wrong” categorizing stablecoins as securities in 2022, and the country needs to realize that every other regulatory regime is looking at stablecoins as payment instruments.

Rasul made the remarks during a panel on May 13 at the Blockchain Futurist Conference in Toronto, pointing to Europe’s crypto regulatory framework as a model for Canada to consider:

“I’m sure the regulators are wondering if this was the right choice to approach stablecoins as a security. […] I would just say, look at MiCA, look at the way they’re approaching stablecoins. It’s a payment instrument. It should be regulated as such.”

The Canadian Securities Administrators (CSA) classified stablecoins as “securities and/or derivatives” in December 2022, following “recent events in the crypto market,” such as the dramatic collapse of crypto exchange FTX just a month before.

Related: What Canada’s new Liberal PM Mark Carney means for crypto

Canada, Cryptocurrency Exchange, Stablecoin
Canadian Web3 Regulation panel at Blockchain Futurist Conference. Source: Cointelegraph

The agency elaborated on stablecoin rules in February and October of 2023, placing such tokens under the umbrella of “value-referenced crypto assets.”

Canada’s stance on digital assets led many top crypto companies, including Binance, Bybit, OKX, and Paxos, to scale back operations in the local market. Crypto exchange Gemini also announced exit plans in September 2024.

The regulatory setback, however, hasn’t stopped Canada’s digital asset market from flourishing. According to Grand View Research, the local crypto industry posted revenue of $224 million in 2024, higher than in previous years. It is expected to grow at a compound annual growth rate of 18.6% until 2030, when it is forecast to reach $617.5 million in annual revenue.

Related: Bitstamp’s departure from Canada is ‘timing issue,’ says CEO

Stablecoins have emerged as key crypto use case

Stablecoins, cryptocurrencies pegged to a fiat currency, have emerged as a key use case for digital assets. According to DefiLlama, the current market capitalization for all stablecoins is at $242.8 billion as of May 14, up 51.9% in the past 12 months.

Canada, Cryptocurrency Exchange, Stablecoin
Stablecoin market cap. Source: DefiLlama

Nation-states and economic blocs are increasingly working on stablecoin regulations to tackle the rising usage across the world. While the most used stablecoins are pegged to the US dollar, there is demand for stablecoins pegged to other fiat currencies.

Magazine: Legal Panel: Crypto wanted to overthrow banks, now it’s becoming them in stablecoin fight

Continue Reading

Politics

Kazakhstan’s president calls for national crypto reserve, digital asset law by 2026

Published

on

By

Kazakhstan’s president calls for national crypto reserve, digital asset law by 2026

Kazakhstan’s president calls for national crypto reserve, digital asset law by 2026

The president announced his “CryptoCity” plans would be developed in Alatau, while the government would move forward to create a strategic crypto reserve with “promising assets.”

Continue Reading

Politics

Ex-Celsius CEO set to start 12-year prison sentence this week

Published

on

By

Ex-Celsius CEO set to start 12-year prison sentence this week

Ex-Celsius CEO set to start 12-year prison sentence this week

Alex Mashinsky pleaded guilty to two felony counts in December, admitting in court to making false statements about the platform’s Earn Program.

Continue Reading

Politics

UK could suspend visas from countries that do not agree migrant returns deals, says home secretary

Published

on

By

UK could suspend visas from countries that do not agree migrant returns deals, says home secretary

The UK could suspend visas from countries that do not “play ball” and agree to returns deals for migrants, the new home secretary has said.

Speaking to broadcasters, Shabana Mahmood repeatedly said that her “top priority” is to “secure our borders”, and called on countries to take back their citizens if they have no right to be in the UK.

The government is under vast pressure to stop small boats crossing the English Channel – over 30,000 people have arrived so far this year, including over 1,000 people on Saturday alone.

Politics latest: Home secretary rules out standing for deputy Labour leader

The new home secretary is hosting her counterparts from fellow members of the Five Eyes intelligence-sharing alliance – which includes the US, Australia, Canada, and New Zealand – to discuss “what more we can do to work together to make sure that our borders are secure and that all citizens feel safe”.

Pic: PA
Image:
Pic: PA

Speaking to broadcasters during the summit, Ms Mahmood said: “For countries that do not play ball, we’ve been talking about how we can take much more co-ordinated action between the Five Eyes countries.

“For us, that means including possibly the cutting of visas in the future, just to say, you know, we do expect countries to play ball, play by the rules, and if one of your citizens has no right to be in our country, you do need to take them back.”

She repeatedly vowed to do “whatever it takes” to stop small boat crossings, and she rejected the suggestion that she is emulating policies already proposed by other parties, saying: “This is a Labour government with Labour policy and Labour proposals.

“We’ve been looking at this for some time. It’s been discussed already across the government, and I’m very clear that there has to be a strong approach to maintaining our border, and that does mean saying to countries who do not take their citizens back that we’re not simply going to allow our laws to remain unenforced.”

Please use Chrome browser for a more accessible video player

Sam and Anne discuss the differences between Yvette Cooper and Shabana Mahmood.

👉Listen to Politics At Sam And Anne’s on your podcast app👈

But shadow home secretary Chris Philp said: “All we get from Labour are tough words. I urged them to immediately use the powers which the last government created some months ago, but nothing has happened. We should also cut overseas aid to countries not taking back their own nationals.

“This Labour government is too weak to take the steps necessary to protect our borders, and I see no sign of that changing any time soon.”

Ms Mahmood also suggested that the government could roll out digital ID as part of measures to prevent illegal working and reduce the “pull factors” that draw migrants to the UK.

While she has long been personally in favour of them, she said the government current position is to “look at” them, and she will be “discussing” the possibility of rolling them out with government colleagues.

Balance between human rights and securing borders

The home secretary also reiterated that the UK will not be leaving the European Convention on Human Rights (ECHR) – as Reform UK and some in the Tory party have called for – because that would have “other consequences that we think are not in our national interest”.

Please use Chrome browser for a more accessible video player

Healey: Govt considering military sites for migrants

“We absolutely see the case for reform primarily in our domestic, legal framework, tightening up the rules,” she said.

“In the end, this is about how you strike the balance between human rights on the one hand, and securing our borders. I do think that that balance isn’t in the right place at the moment. That’s why we will come forward with changes to our domestic legislation and the guidance in terms of how we apply some of the convention rights legally here at home.”

She added that she will continue work she started in her previous post of justice secretary to reform the convention and ensure it is “fit for purpose in the modern era”.

Please use Chrome browser for a more accessible video player

Jeremy Corbyn: ‘Why are we demonising refugees?’

Ms Mahmood’s comments come on her third day in her new role of home secretary, which she was given in a wide-ranging cabinet and ministerial reshuffle, triggered by the resignation of Angela Rayner as housing secretary and deputy prime minister on Friday, after admitting to underpaying stamp duty on a new property.

There was a clear out of the ministerial team in the Home Office, with new ministers brought in as the government seeks to get a grip on small boat crossings and close asylum hotels amid protests.

Dover MP Mike Tapp – a strong proponent of taking tough measures to break up criminal gangs and stop boats landing on British shores – is one of those MPs who has been given his first ministerial role in the Home Office.

Continue Reading

Trending