Authorities impose a $30,000 purchase limit on altcoins

According to the Newton cryptocurrency exchange platform’s new terms of service, Canada limits investments to $30,000 per year. While not all of the country’s assets and all provinces are affected, the news raises questions about the discretionary powers over its finances.

https://cryptoast.fr/cryptomoines-canada-autorites-impose-limites-achats-altcoins/

In Canada, the law restricts investments in cryptocurrencies

Depending on which country we are in, we sometimes complain about the Cryptocurrency Regulationbut to Canada, laws sometimes take the form of restrictions. In fact, according to the new terms and conditions of Newton, a local exchange, investors have a limit on all their investments from 30,000 Canadian dollars per year.

However, this measure has some subtleties. For example the following assets are not affected by these restrictions :

  • Bitcoin (BTC);
  • Ethereum (ETH);
  • Litecoin (LTC);
  • Bitcoin Cash (BCH).

Likewise, not all of the country’s provinces are housed in the same boat. So the ones below are not affected :

  • Alberta;
  • British Columbia ;
  • Manitoba;
  • Quebec.

Newton users must fill out a questionnaire assess their knowledge in cryptocurrencies. If they know enough, they get access to the platform, and that $30,000 limit is reset with each one Anniversary of answering the questionnaire.

Also note that the “latent consumption” of this limit is variable. This means that if a user bought 10,000 dollars of SOL, for example, he would logically still have 20,000 dollars in “credit” left. But if he resells $5,000, that balance is readjusted to $25,000. You also need to understand that it’s not $30,000 per altcoin, but in fact on all assetsexcept the above.

👉 To go even further – Maintain full ownership of your cryptocurrencies by storing them in a hardware wallet

The French unicorn of crypto wallets

A complete crypto experience, from purchase to backup

Exchange Compliance

These actions are actually in line with the guidelines of the Ontario Securities Commission (OSC) and the Canadian Securities Administrators (CSA).

In order to continue trading on Canadian soil, regulators also require these trading platforms enter into a pre-registration obligation. This allows cryptocurrency exchanges to demonstrate their willingness to comply the regulations in force in Canada. Crypto.com has already complied with these orders.

While many investors aren’t actually penalized by these restrictions, it does raise questions Freedom to manage your finances. Indeed, this is an additional argument to turn to self-care.

👉 Also in the news – Unpaid fines? South Korea plans to confiscate cryptocurrencies from criminals

Investing in real estate on the blockchain

Just $50 to start

toaster icon

Sources: Newton, CSA

Newsletters 🍞

Receive a roundup of crypto news by email every Monday 👌

What you need to know about affiliate links. Assets, products or services related to investments are presented on this page. Some links in this article are affiliated. This means if you buy a product through this article or register on a site, our partner pays us a commission. This allows us to continue to offer you original and useful content. There is no impact on you and you can even get a bonus by using our links.

Investing in cryptocurrencies is risky. Cryptoast is not responsible for the quality of any product or service presented on this site and cannot be held responsible, directly or indirectly, for any damage or loss resulting from the use of any good or service highlighted in this article. Investing in crypto assets is inherently risky, readers should do their own research before taking any action and only invest within their financial means. This article does not constitute investment advice.

Leave a Comment