Circle Becomes First Stablecoin Issuer to Meet Canada’s Regulatory Requirements
- Circle received approval from the OSC and the CSA after meeting the VRCA requirements
- In July, Circle became the first stablecoin issuer to receive a license under the EU’s MiCA’s regulations
New Milestone for Circle
Circle has achieved a significant milestone by becoming the first stablecoin issuer to comply with Canada’s new regulatory requirements for stablecoins. The approval came after meeting the Value-Referenced Crypto Asset (VRCA) requirements set by the Ontario Securities Commission (OSC) and the Canadian Securities Administrators (CSA).
Jeremy Allaire, co-founder and CEO of Circle, expressed his excitement about this accomplishment in a recent announcement, stating that Circle is leading the way in meeting the new listing and market rules for the Canadian crypto market. USDC, Circle’s stablecoin, is now compliant with the latest regulations in Canada.
Recognition and Compliance
Circle’s approval ahead of the CSA’s deadline for delisting non-compliant stablecoins demonstrates its commitment to regulatory compliance and transparency. Dante Disparte, Chief Strategy Officer at Circle, emphasized the significance of USDC’s availability in Canada, highlighting the company’s adherence to global regulations and the integrity of digital asset markets.
“The Canadian Securities Administrators’ proactive approach in providing a digital asset regulatory framework reinforces the integrity of digital asset markets, while ensuring continued reliance on USDC across Canada’s burgeoning ecosystem.”
Regulatory Landscape of Circle
In addition to meeting Canada’s regulatory requirements, Circle is regulated by the US Bank Secrecy Act and holds money transmitter licenses in various US states. The company also obtained regulatory approval under the EU’s Markets in Crypto-Assets (MiCA) regulations, allowing it to issue stablecoins across the EU.
Furthermore, Circle received a Major Payment Institution (MPI) license for digital payment token services in Singapore in June 2023, enabling it to offer a range of financial services in the country. With USDC’s market capitalization reaching $40.6 billion, Circle continues to solidify its position in the stablecoin market.
