- Crypto.com will remove the Tether USDT stablecoin from its listing.
- Tether doesn’t consider Canada to be their core market.
Crypto.com is restricting the Tether stablecoin (USDT) trading services in the Canadian region. This is seemingly the follow-up action by the largest crypto platforms after the Pre-Registration Undertaking (PRU) with the Ontario Securities Commission (OSC). And, Crypto.com will delist the USDT from 31st Jan 2023.
crypto dot com to delist USDT pic.twitter.com/3KD0gJlMkE— chortly (@charlestrussel) January 10, 2023
Crypto.com users in Canada have received an update about the delisting via formal mail. The users are advised to transform or withdraw the USDT token by the mentioned date. If not done so, the platform will automatically transfer the tokens to USD coin (USDC), which seems to be a déjà vu.
Regulations for Stablecoins in Canada
On 12th Dec 2022, the OSC announced the measures to be undertaken by Canadian Securities Administrators (CSA) to supervise the crypto platforms functioning in the country. The CSA presently views stablecoin to be a “constitute securities and/or derivatives”. And the platforms dealing with the stablecoins in the country premises must prohibit the services over the crypto assets.
Crypto.com representative stated:
“Crypto.com has delisted USDT for users in Canada in accordance with instructions from the Ontario Securities Commission (OSC) as part of our pre-registration undertaking for a restricted dealer license”
As per Tether’s representative, Canada has made a fast decision. Whereas any nation should consider all the options available with an open mind before execution. Having a “fair, open and forward looking approach” will only encourage the financial growth of the country.
The spokesperson also mentioned delisting of Tether in Canada is not making a big impact on the token as they don’t consider Canada to be their core market. USDT is 1st stablecoin in the CMC stablecoin category. Additionally, Tether solely has a $66 B market capitalization with an average $23 B trading volume in 24 hours.