The Ontario Securities Commission (OSC) today issued an alert flagging 13 companies that “are not registered to deal or advise in securities in Ontario,” including the Seychelles-based MEK Global Limited and the Singapore-incorporated PhoenixFin Pte. Ltd., both of which collectively make Kucoin.
The OSC’s new warning against Kucoin is the second this month. It asks investors to report any approaches by the flagged firms to the OSC, arguing that unregistered companies may pose significant consumer risks.
In a courtroom victory back in June, the OSC successfully barred Kucoin from operating in Ontario and fined it just over $1.6 million for failing to register as a securities provider before the deadline of April 19, 2021, despite continuing to operate as an exchange.
Kucoin’s website was last week blocked by South Korean authorities for operating without registration.
Ontario’s crypto crackdown
Back in 2021, the OSC restricted trading on centralized crypto exchanges that offer derivatives products, including Poloniex, ByBit, and KuCoin.
Like Kucoin, Binance also failed to register with local authorities by the April deadline.
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Top officials from the Bank of Canada rebuked claims that Bitcoin, or any other cryptocurrency for that matter, could substitute the Canadian dollar in the face of the country’s rising inflation, according to a Global News report. During testimony before the finance committee of the House of Commons on Monday, Liberal MP Yvan Baker asked the bank’s governor Tiff Macklem and senior deputy governor Carolyn Rogers whether the use of crypto could represent an effective strategy against inflation. “I...
The exchange subsequently informed its Ontario-based users that they had to close all active positions by the end of the year, but by December, Binance had rescinded its commitment to the OSC.
In March this year, Binance announced it was longer offering new customer accounts to Ontarians.
