Cryptocurrencies, which have greatly increased in popularity in recent years, are currently facing a huge decline that is losing serious money to investors and companies. So much so that the leading cryptocurrency Bitcoin (BTC) has recently dropped to $ 20,000, falling to its lowest levels in recent times.
While the decline in the markets continues, now there has been a move from Canada to protect investors. The Canadian Securities Authority (CSA) has announced that it will impose a buy limit on cryptocurrencies. The institution added that some cryptocurrencies will not be included in this.
A maximum of $30,000 can be invested in cryptocurrencies other than BTC, ETH, BCH and LTC
The regulation will limit investors’ investments in cryptocurrencies other than Bitcoin (BTC), Ether (ETH), Bitcoin Cash (BCH), and Litecoin (LTC). Accordingly, a maximum of 30,000 Canadian dollars can be invested annually in altcoins other than the specified cryptocurrencies. There will be no restrictions on purchases for BTC, ETH, BCH and LTC. Additionally, if investors sell their holdings within a one-year period, the amount sold will be reduced from the set limit.
It was stated that customers in British Columbia, Manitoba, Alberta and Quebec will not be covered by the application. Officials say that such a decision has been taken to protect investors from risks, and they expect exchanges in the Canadian jurisdiction to operate in accordance with this regulation. It is also among the statements made that the restriction is only valid for purchases made in Canadian dollars.
Canadian regulators continue their moves as part of increasing their measures against cryptoassets. Previously, the stock exchanges in the country had begun to obtain licenses from the regulatory authorities in the country. With the current decision, restrictions were imposed on investments. Authorities also demanded that exchanges collect information about their customers’ crypto investment and financial standing.
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