Coinbase Crypto Exchange Taps Former Shopify Executive to Lead Canadian Expansion – Here’s the Latest

Cryptocurrency exchange Coinbase has named a former Shopify executive as its new country director for Canada.

This move is part of Coinbase’s strategy to adapt to the evolving regulatory landscape in Canada.

In a recent blog post, Coinbase revealed that it had taken a number of new measures as the exchange sees expansion in Canada despite moves by the country to tighten regulations around crypto amid the recent collapse of some high-profile digital assets.

Firstly, the exchange has chosen Lucas Matheson as its country director in Canada.

In the announcement, Coinbase said Lucas brings a wealth of experience from his time at Shopify and with leading financial institutions in Canada, and can also help the exchange with its planned expansion.

Furthermore, Coinbase said it is investing significant resources in local Canadian innovation. The company said it has hired over 200 engineers in the country in an effort to scale up a technology center.

“In addition, our global leadership team will make frequent trips to Canada to engage with regulators, partners and the community to better understand the Canadian market and its unique needs.”

Coinbase also revealed that it has signed an enhanced Pre-Registration Undertaking (PRU) in Canada, which is required by Canadian Securities Administrators (CSA) members as a prerequisite for members to allow unregistered crypto asset trading platforms (CTP) to continue operating .

“We continue to work with policymakers on a strong cryptoregulatory framework for Canadians,” the announcement said, adding that it supports Canadian regulators’ efforts to bring clarity to the industry.

The move by Coinbase comes after the CSA announced earlier this month that it will tighten the requirements for cryptocurrency exchanges operating in the country.

Following the announcement, crypto exchange OKX informed its Canadian users via email that the platform “will no longer offer services or allow users to open new accounts in Canada as of March 24, 2023, at 12:00 PM EST,” citing new regulations.

There have also been reports that Binance, the world’s largest cryptocurrency exchange by trading volume, is planning to exit Canada amid sour regulatory conditions.

Coinbase considers overseas trading platform amid US crypto crackdown

Coinbase is considering setting up a digital asset exchange outside the US amid growing regulatory pressure and a deteriorating banking climate for crypto firms.

The potential expansion plan from Coinbase comes in the wake of increased regulatory scrutiny in the US. In particular, the SEC has launched an aggressive crackdown on crypto companies in the wake of the recent market downturn.

Just last week, the agency issued a “Wells notice” to Coinbase, threatening the crypto exchange with legal action regarding some of its listed digital assets, staking service Coinbase Earn, Coinbase Prime, and Coinbase Wallet.

Meanwhile, Coinbase CEO Brian Armstrong has warned that a hostile regulatory approach from the SEC could drive the crypto industry outside of the US.

The crypto chief said that almost all major financial hubs, including Singapore, Hong Kong, London and, most recently, the European Union, have introduced comprehensive crypto legislation, adding that the US should also follow suit if it does not want to lag behind. .