TORONTO — The Ontario Securities Commission says it is taking action against a Seychelles-based cryptocurrency company that has yet to enter discussions about bringing its platform into compliance with provincial laws.
The regulator ordered crypto asset companies to contact it by April 19 in order to figure out how their operations can meet Ontario securities standards.
The OSC says Polo Digital Assets, Ltd., which operates as Poloniex, never contacted the regulator but is required to because it has opened and operated trading accounts for Ontario residents and markets itself to Canadians.
In a statement of allegations, the OSC's enforcement staff asks the commission to order Poloniex to cease trading securities, pay an administrative penalty of not more than $1 million and cover the costs of the commission's investigation.
Poloniex did not immediately respond to a request for comment.
Since the OSC instituted its April 19 deadline, it says more than 70 platforms initiated compliance discussions with Canadian securities regulators and almost a quarter of them are based outside Canada.
This report by The Canadian Press was first published May 25, 2021.
The Canadian Press
