Canadian crypto exchange platform Bitbuy Technologies Inc. says it has received approval from Canadian regulators to operate as a “registered marketplace” and “restricted dealer” for cryptocurrency assets.
Announcing the news on Wednesday, Bitbuy said the regulatory nod came from both the Ontario Securities Commission (OSC) and the Canadian Securities Administrators (CSA).
Bitbuy says it is the first Canadian crypto firm to be both a registered marketplace and restricted dealer, as opposed to other platforms that have only received licenses to operate as investment dealers or brokers.
Bitbuy’s broker and marketplace approval means that the exchange will not need to route the trade orders of its customers to third-party entities abroad. “With this OSC / CSA ruling, Bitbuy will be the first trading platform to offer Canadians a fully integrated solution for buying and selling digital assets on a Canadian regulated marketplace,” said Bitbuy in the announcement.
Detailing the benefits of the regulatory approval, the company listed liquidity expansions to cover large-volume trades, especially for institutional players. Bitbuy also stated that being a regulated broker and marketplace will also bring greater transparency for its customers when trading cryptocurrencies on the exchange.
Bitbuy’s regulatory approval comes as Canadian regulators continue to push for stricter crypto exchange oversight. In 2020, CSA deemed that most platforms fell under national securities laws.
Canadian regulators have since taken action against a few crypto exchanges including Poloniex and Kucoin.
Update: After the publication of this story, Bitbuy said it has received approval to operate as a restricted dealer and not an investment dealer. The story and its headline have been updated to reflect that.