Paxos to Wrap Up Canadian Operation Amid New Crypto Regulation

Paxos to exit Canadian market new crypto regulations.
Coinbase, Kraken, and other crypto exchanges continue operations in Canada.

Paxos said it has planned to exit the Canadian market because the crypto exchange cannot comply with the new crypto regulations of Canada. The crypto trading company said that it would no longer serve Canadian users.

Paxos released a support post on April 11, informing the reason for exiting the Canadian market and how users can recover their digital assets.

The company will block/close all Canadian accounts with no funds by May 9, and the deadline to withdraw the amounts from wallets is June 2; after this, Paxos will block all accounts for transactions.

Later Paxos said they might start their operations in Canada once again if they comply with the tighter crypto regulations of Canada. Paxos is one of many to exit the Canadian market.

dYdX, OKX, and Blockchain.com are among the leading exchanges planning to exit the market.

Some major centralized crypto exchanges like Coinbase, Kraken, and Crypto.com think they can operate in Canada according to the newly launched crypto regulations by the nation.

Pax Dollar Price Overview

According to CoinMarketCap, USDP is ranked as the 57th most traded cryptocurrency. At press time, USDP was trading at $0.9989 with a 24-hours trading volume of $53,160,188.

USDP is a fiat-collateralized stablecoin developed in September 2018. The trading of Pax native currency is available on dozens of centralized crypto exchanges, including Kucoin, Huobi Global, Upbit, and Bitrue.

US Dollars back the Pax Dollar, and the total reserve of issued USDP is held in a company’s account at the United States depository institutions. Uniswap V3 is the only decentralized crypto exchange that offers the facility to trade USDP.

As per data total circulating supply of USDP is 878,084,065, and the fully diluted market capitalization is $876,637,249. The total market dominance of the Pax Dollar is 0.07%.

According to Crunchbase, Paxos raised around $543.5 Million in seven different funding rounds, and over 24 investors participated in these seven investment rounds. Some of the major investors of Paxos are Alameda Research, PayPal Ventures, MercadoLibre, Liberty City Ventures, Senator Investment, Mithril Capital Management, and a few others.

Alameda Research was a quantitative trading firm founded by crypto titan Sam Bankman Fried and was headed by his so-called girlfriend, Caroline Ellison. Alameda was the sister company of the now bankrupt third largest crypto exchange FTX.

Some leading investments of Paxos are Espresso Systems, Aptos, Starlight, Doppel, Higlobe, TipLink, including several others.

On April 03, Paxos released a document informing that its active wallet users hit 10 million globally. Paxos noted that despite the ongoing market challenges, it has demonstrated “clear growth” by garnering “customer-backed support.”

Disclaimer

The views and opinions stated by the author, or any people named in this article, are for informational purposes only and do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.

Andrew is a blockchain developer who developed his interest in cryptocurrencies while his post-graduation. He is a keen observer of details and shares his passion for writing along with being a developer. His backend knowledge about blockchain helps him give a unique perspective to his writing