Saturday, January 18, 2020

New Regulatory Proposal in Canada Forces Exchanges to Remove “Internal Ledgers”

Canada is a very interesting region for cryptocurrencies. Despite several bitcoin exchanges shutting down, a new type of regulation paves the way for a brighter future.

Crypto enthusiasts in Canada know it is difficult to find reliable trading platforms.

Proper Crypto Regulation in Canada

Several companies have either shut down or vanished altogether in recent years.

Particularly the entire QuadrigaCX debacle still remains a very sensitive topic among Canadians.

There was also the disappearance of Einstein Exchange, which generated a lot of negative attention in the Vancouver area.

Under the new regulation, exchanges will have to adapt accordingly.

Any fiat exchange will need to step away from internal ledger politics altogether.

Instead, they can only make the credit amount after a purchase “valid” when it is settled on-chain.

This ensures the customer gets the funds they are owed, and the exchange doesn’t try to hide anything from the government.

The proposal has been well-received by the cryptocurrency community so far.

Everyone sees the benefit of this approach.

Some would even like to see this implemented on a global scale, and the sooner the better.

One can only hope that Canada is setting a precedent in this department.

Protecting cryptocurrency users should be the top priority for all service providers, regardless of the region they operate in. 

Image(s): Shutterstock.com

The post New Regulatory Proposal in Canada Forces Exchanges to Remove “Internal Ledgers” appeared first on NullTX.



New Regulatory Proposal in Canada Forces Exchanges to Remove “Internal Ledgers”