The integration of these provisions in the rules “will provide investment fund managers with greater regulatory clarity concerning investments in cryptographic assets”, said the CSA in a notice detailing the changes of rule.
For example, the rules will now set out the criteria of the types of cryptocurrencutors that regulate authorized investment funds, set restrictions on investment in cryptographic assets for cryptographic funds and traditional investment funds and establish childcare requirements for cryptocurrencies.
“By implementing regulations concerning cryptographic asset offers, we aim to provide railing in this evolving sector,” said Stan Magidson, president of the CSA and president and CEO of the Alberta Securities Commission (ASC), in a press release.
In its opinion, the CSA said that the objective of changes in rules “is to facilitate the development of new products while ensuring that appropriate risk mitigation measures are integrated directly into the regulatory framework of investment funds.”
The adoption of rules for cryptographic funds represents the second phase of what the CSA has envisaged as a three -phase process to develop the regulation of cryptography.
The first phase involved regulators issuing advice to help finance managers and cryptography funds respected with existing requirements, and detailed concerns of regulators with regard to specific compliance problems.
The changes in rules published today represent phase two of the project. The third and final phase will imply that regulators undertake a public consultation on a more complete regime for cryptography funds.
Today’s changes were issued for consultation in January 2024. The CSA noted that it had made a certain number of revisions following this consultation, but that it considers these changes as non -materials, so that another public consultation is not necessary.
Assuming that the required government approvals are received, rules will take effect on July 16.
