The Canadian Securities Administrators (CSA) have partnered with the Self-Regulatory Investment Organization to release new guidelines for cryptocurrency exchanges.
The document describes the rules and regulations of social media behavior, as well as the requirements for publishing ads. Regulators emphasize that the requirements are not out of the blue, but are in line with the rules for advertising and marketing securities.
For example, the guide limits the types of language used to advertise cryptocurrency services, and warns against the use of jargon and slang. In addition, the use of gambling and casino-style advertisements is discouraged.
“We are concerned that such advertising could give investors an overly optimistic mood, leading to risky trading and misunderstanding of risks. We would like to remind you that registered cryptocurrency exchanges remain an important part of the financial market. They should not, knowingly or not, take actions that undermine the reputation of the market, ”the document says.
As a reminder, in January last year, Canada’s Securities Administrators issued a guideline according to which many of the country’s cryptocurrency exchanges would be subject to national securities laws. In addition, it was Canadian regulators who were the first in North America to approve the launch of Bitcoin ETFs.
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