Kraken is going to stop trading USDT, DAI, WBTC, WETH and WAXL in Canada.
According to multiple customer emails shared with Cointelegraph, Kraken will halt all transactions related to USDT, DAI, WBTC, WETH and WAXL in Canada in November and December.
In response to a request for comment from Cointelegraph, a Kraken spokesperson said in an email that “we constantly monitor the assets on the platform to ensure we meet the highest compliance standards in the crypto industry” before confirming the bans.
According to the spokesman:
“In accordance with recent Canadian regulatory changes and after extensive consultation with the CSA and OSC, we have informed our clients that we will soon cease trading USDT, DAI, WBTC, WETH and WAXL.”
The email added that Kraken remains committed to providing an exceptional trading experience to our Canadian customers.
The bans It may not surprise many Canadian cryptocurrency users as it comes on the heels of several other popular exchanges taking similar steps in 2023. In August, Coinbase stopped trading Tether, Dai and Rai, following a similar move by Crypto.com earlier in canceling Tether.
The same regulatory challenges faced by those companies have caused others to exit the Canadian market entirely. According to Cointelegraph, OKX ceased operations in Canada in June after Binance announced their intention to do so in May.
Kraken, meanwhile, appears to have continued operations in Canada and is only blocking transactions related to five specific properties.
According to the email, “as of November 30” deposit and transaction activities will stop for the said properties. Then “starting December 4th”, users will no longer be able to withdraw related assets.
Finally, “starting on December 5th,” the email continues, any remaining matching assets will be converted to US dollars at “current market rates” and credited to users' accounts.
Related: Bank of Canada reviews DeFi innovations and challenges
In related news, Kraken announced the appointment of a new managing director of its UK operations on 27 October. The new director is Bivu Das, an entrepreneur and CEO of Starling Bank with a long track record in fintech and traditional financial services.