Coinbase announced on August 17th that it would cease trading in Tether (USDT), Dai (DAI), and RAI stablecoins for Canadian users on August 31st. This action is in response to shifting regulatory requirements in Canada, where authorities have tightened their control on the cryptocurrency industry.
Coinbase hopes to follow in the footsteps of Crypto.com, which previously ceased USDT trading when the Ontario Securities Commission (OSC) prohibited it in 2021.
The current attention of Canadian regulators on cryptocurrency exchanges has prompted numerous companies to rethink their tactics or leave the country. OKX and Bittrex Global have already left due to regulatory concerns, and Binance plans to follow suit in September.
Although trading in stablecoins has halted briefly, the exchange has introduced support for Interac e-Transfer to make deposits and withdrawals easier for consumers. Coinbase is adamant about entering the Canadian market.
Coinbase remains optimistic about Canada’s future as a worldwide leader in the cryptocurrency market, owing to the country’s widespread crypto literacy and thriving technology sector.
While waiting for registration approval from the Canadian Securities Administrators (CSA), Coinbase Canada, Inc. is dedicated to complying with regulatory standards. Even if trading has been suspended, Canadian customers can still deposit and retrieve the relevant stablecoins beyond the deadline.
