The Canadian cryptocurrency sector was undoubtedly influenced by the scandal of QuadrigaCX’s (cryptocurrency exchange) last year. In this scandal, up to $ 190 million was misappropriated, and the whole incident was to be under the control of a fraudster named Omar Dhanani. He was then to use a false identity and act as co-founder of the cryptocurrency exchange QuadrigaCX - Michael Patryn. Also because of this fraud, Canadian regulators decided to focus on the cryptocurrency exchange.

On January 16, the Canadian Securities Administration regulator issued a detailed report on how to handle cryptocurrency exchanges in the future. The biggest distinction will be made between exchanges that hold their clients' cryptocurrencies in their own wallets. Regulators will focus much more on these exchanges and tighten regulations to prevent what happened with the QuadrigaCX.

This is not the only change that should happen in response to the QuadrigaCX scandal in Canada. In addition to stricter rules for most stock exchanges, a proposal to ban shortening and margin trading was issued last year.

Despite these changes and stricter rules, Canada is one of the most developed countries in terms of cryptocurrency. For example, in Bitcoin ATM numbers, it ranks second behind the US. Recently, there have been reports that the Royal Bank of Canada plans to launch its own bitcoin trading platform.