Longest-running Canadian crypto asset trading platform Coinsquare reportedly disclosed that the Investment Industry Regulatory Organization of Canada (IIROC) granted greenlight for its dealer registration and IIROC membership. 

Specifically, this regulatory status will reportedly help Coinsquare become the first crypto-exclusive IIROC-registered investment dealer and marketplace member in Canada.

“In dealing with an IIROC registrant, Coinsquare clients now have the added comfort and security of knowing that Coinsquare is operating at the highest level of dealer compliance and oversight under the existing regulatory system.”

The regulation will reportedly have Coinsquare’s client funds fully segregated and kept by licensed and insured custodians. Coinsquare will also need to report its financial standing regularly and maintain adequate capital for liabilities. 

Furthermore, cash kept in client accounts will receive protection from the Canadian Investment Protection Fund in the event of insolvency.

At the moment, Coinsquare has over 500,000 users and offers access to more than 40 digital coins, including over 820 coin-to-coin trading pairs. The exchange has finalized around $5.82 billion in trades since its inception in 2014.

Canada has taken a different regulatory approach than the United States. In Canada, all crypto exchanges operating in the country must be registered or at least apply to the IIROC. In June, regulators banned the crypto exchange Kucoin from operating in the Canadian province of Ontario, alleging that the firm did not respond to information requests.