Coinbase, one of the most prominent U.S. cryptocurrency exchanges, is currently holding discussions with prominent Canadian banks to encourage their involvement in the country's crypto ecosystem, according to CoinDesk. The move comes as Coinbase navigates regulatory uncertainties in the United States and expands its presence into Canada.
Lucas Matheson, Director of Coinbase's operations in Canada, revealed in an interview with CoinDesk that he has been in talks with Canada's leading banks, commonly referred to as the "Big Five." Matheson did not specify the banks by name. However, It is worth noting to our readers that the largest largest banks in Canada include Royal Bank of Canada, Toronto-Dominion Bank, Bank of Nova Scotia, Bank of Montreal, and Canadian Imperial Bank of Commerce.
Matheson's focus is to collaborate closely with these top-tier banks to facilitate crypto adoption and support the industry, and he expressed optimism about the potential participation of larger Canadian banks in the crypto economy over the next few quarters, CoinDesk added.
Having recently commenced operations in Canada, Coinbase's move follows its legal challenge in the U.S. brought on by the Securities and Exchange Commission (SEC). In contrast to the enforcement-oriented approach in the U.S., Matheson praised Canada's regulatory engagement, which aims to establish a conducive framework for the digital asset economy and position the nation as a leader in the field, the report added.
Coinbase obtained a Pre-Registration Undertaking (PRU) in Canada, committing to fulfill specific regulatory requirements within a set timeframe. This progress will enable the exchange to secure a restricted dealer registration and eventually transition to the newly formed Canadian Investment Regulatory Organization. This shift will grant Coinbase full dealer registration, enabling it to provide leveraged and derivative products to retail and institutional investors. Click here to read the original story from CoinDesk.
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