Just-In: Coinbase to Halt USDT Trading in Canada Starting August 31st

Kelvin Munene Murithi
August 18, 2023
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CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
Coinbase crypto news

On August 17th, Coinbase announced that it would halt trading of Tether (USDT), Dai (DAI), and RAI stablecoins for Canadian users starting August 31st. This move comes in response to changing regulatory requirements in Canada, where authorities have been tightening their grip on the crypto industry. 

Following the path of Crypto.com, which earlier suspended USDT trading after the Ontario Securities Commission (OSC) imposed a ban in 2021, Coinbase seeks to align with Canadian regulatory standards.

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Exchanges adjust to new regulations

The recent increase in Canadian regulators‘ focus on cryptocurrency exchanges has forced several companies to adjust their strategies or flee the country. Due to regulatory issues, OKX and Bittrex Global have already gone, and Binance aims to do the same in September.

Coinbase is adamant about getting a foothold in the Canadian market. Although trading in stablecoins has been temporarily halted, the exchange has added support for Interac e-Transfer to make it easier for customers to make deposits and withdrawals. 

Thanks to the country’s widespread crypto literacy and thriving technology sector, Coinbase is still confident in Canada’s future as a global leader in the cryptocurrency industry.

Coinbase Canada, Inc. has committed to complying with regulatory requirements while waiting for registration permission from the Canadian Securities Administrators (CSA). The exchange specified that Canadian users can still deposit and withdraw the concerned stablecoins beyond the deadline, even if trading has been suspended.

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Canadian stablecoins: the road ahead

The Canadian Securities Administrators have only cleared USD Coin (USDC) for listing on controlled crypto exchanges. Companies anticipate a more nuanced and future-focused approach to financial access as the regulatory landscape shifts.

Fostering innovation while maintaining a secure, compliant consumer ecosystem is a delicate balancing act in Canada’s rapidly evolving crypto landscape. Coinbase‘s decision to halt stablecoin trading is just one reaction by markets to the shifting legal landscape in the nation. Canada’s cryptocurrency exchanges will undoubtedly undergo more service and operational modifications as the sector develops.

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Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.

Why Trust CoinGape

CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.

About Author
About Author
Kelvin Munene is a crypto and finance journalist with over 5 years of experience, offering in-depth market analysis and expert commentary . With a Bachelor's degree in Journalism and Actuarial Science from Mount Kenya University, Kelvin is known for his meticulous research and strong writing skills, particularly in cryptocurrency, blockchain, and financial markets. His work has been featured across top industry publications such as Coingape, Cryptobasic, MetaNews, Cryptotimes, Coinedition, TheCoinrepublic, Cryptotale, and Analytics Insight among others, where he consistently provides timely updates and insightful content. Kelvin’s focus lies in uncovering emerging trends in the crypto space, delivering factual and data-driven analyses that help readers make informed decisions. His expertise extends across market cycles, technological innovations, and regulatory shifts that shape the crypto landscape. Beyond his professional achievements, Kelvin has a passion for chess, traveling, and exploring new adventures.
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.