The Canadian Securities Administrators (CSA) has provided guidance to exchanges and cryptocurrency issuers on its interim approach to value-referenced crypto assets, with a particular focus on stablecoins. The CSA published a clarification saying it may allow trading of certain cryptocurrencies that reference the value of a single fiat currency, subject to terms and conditions. In order to be allowed to trade, issuers must maintain an appropriate reserve of assets with a qualified custodian and crypto exchanges offering stablecoins must make “certain information related to governance, operations, and reserve of assets publicly available.” CSA Chair and Chair and CEO of the Alberta Securities Commission, Stan Magidson, said in a statement that this interim framework “sets certain standards to help ensure that investors receive the information they need about the assets they are purchasing, including the risks associated with them.” The CSA cautioned that fiat-backed crypto assets satisfying the terms are still risky and should not be viewed as endorsed or risk-free. Regulatory clarity in Canada has generated greater interest in crypto from institutions. The CSA also issued guidance on staking stating that it was allowed but lending opportunities are limited and the proportion of “illiquid” assets is restricted. Stablecoin market capitalization has been in decline over the past 18 months or so and is currently at $123 billion representing around 11% of the total crypto market cap. The Canadian Securities Administrators (CSA) has provided guidance to exchanges and cryptocurrency issuers on its interim approach to value-referenced crypto assets, with a particular focus on stablecoins. The CSA published a clarification saying it may allow trading of certain cryptocurrencies that reference the value of a single fiat currency, subject to terms and conditions. In order to be allowed to trade, issuers must maintain an appropriate reserve of assets with a qualified custodian and crypto exchanges offering stablecoins must make “certain information related to governance, operations, and reserve of assets publicly available.” CSA Chair and Chair and CEO of the Alberta Securities Commission, Stan Magidson, said in a statement that this interim framework “sets certain standards to help ensure that investors receive the information they need about the assets they are purchasing, including the risks associated with them.” The CSA cautioned that fiat-backed crypto assets satisfying the terms are still risky and should not be viewed as endorsed or risk-free.Regulatory clarity in Canada has generated greater interest in crypto from institutions. The CSA also issued guidance on staking stating that it was allowed but lending opportunities are limited and the proportion of “illiquid” assets is restricted. Stablecoin market capitalization has been in decline over the past 18 months or so and is currently at $123 billion representing around 11% of the total crypto market cap.

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Information	Details
Geography	North America
Countries	🇨🇦
Sentiment	neutral
Relevance Score	10
People	Stan Magidson
Companies	Canadian Securities Administrators (CSA), CryptoSlate, Cointelegraph, CSA, Alberta Securities Commission
Currencies	None
Securities	None