The Canadian Securities Administrators (CSA) reportedly disclosed that crypto trading platforms to be mandated to provide a preregistration undertaking to their principal regulators. 

Specifically, the newly rolled out requirements from the CSA –  specialised in offering provincial and territorial securities regulations – have reportedly been initially complied by two platforms, Crypto.com and the Canadian platform Coinsquare Capital Markets, submitting the filings for those undertakings. 

Trading platforms will be expected to come to terms in the undertaking, to stay compliant with terms and conditions associated with investor protection. 

Finalizing the submission for the filing of the undertaking will reportedly make it possible for crypto trading platforms to carry on with their operations during the review of their applications for registration with the CSA. 

The new undertaking is included in the scope of the “interim approach” rolled out in the guidance on securities law requirements for crypto asset trading platforms in March last year by the CSA and Investment Industry Regulatory Organization of Canada (IIROC).

Crypto.com and Coinsquare Capital Markets reportedly completed the filings for the undertakings with the Ontario Securities Commission, which is their principal regulator. The CSA revealed via its announcement that it was currently holding talks with other platforms regarding the undertaking.

Canada-based crypto trading platforms undergo lengthy waits for registration. They can secure “restricted dealer” status prior to receiving full registration. Platforms that have submitted applications to be restricted dealers are still required to file the newly instituted undertaking.

Crypto.com mentioned that it has already secured full regulation in Canada from the Financial Transactions and Reports Analysis Centre of Canada (FINTRAC) and the Autorité des marchés financiers (AMF) of Quebec.