Canada delays regulation of cryptocurrencies and blockchain companies — Bitcoin Magazine

Aug. 28, 2018

Osler associate Evan Thomas tells Bitcoin Magazine that there needs to be some major work done on regulating cryptocurrencies and blockchain companies. In her article, author Jessie Willms examines the Canadian government’s decision to delay the release of its final regulations for cryptocurrency and blockchain companies, which will not be published in the Canada Gazette until late next year. The BitCoin Magazine article explores what this delay means for industry stakeholders and why some are viewing it as a positive and others as a negative. Evan, a Litigation associate and blockchain expert, explains.

“Delay can put Canadian businesses at a competitive disadvantage,” Evan tells Bitcoin Magazine. “Other jurisdictions are moving more quickly to establish regulatory frameworks around crypto, to the extent those frameworks don’t already exist.

“Until the regulations are final, it will be challenging for Canadian crypto businesses to establish critical banking and other relationships because many financial sector players are waiting for a regulatory framework to be in place. The longer the delay, the harder it may be for the industry to grow in the meantime.”

Evan also explains why this delay will hurt companies, who may choose to regulate themselves anyway.

“Canadian crypto businesses are implementing compliance programs even when not legally required because financial partners require them or for general risk management,” Evan tells Bitcoin Magazine. “The longer the delay, the more costly it may be to re-work those programs to meet the final regulations.”

For more information, read author Jessie Willms’ article “Canada delays regulation of cryptocurrencies and blockchain companies” in Bitcoin Magazine.