Canada

Regulated Partly Confirmed Verified August 24, 2026

Crypto is permitted but not legal tender. Virtual-currency businesses face FINTRAC AML registration and trading platforms may also be subject to provincial securities regulation.

FINTRAC / Canadian Securities Administrators

Total Laws (incl. applicable EU-wide)

Effective Laws

At a Glance

Is holding crypto allowed?

Allowed

Is crypto trading allowed?

Regulated

Is P2P trading allowed?

Allowed

Are crypto payments allowed?

Allowed

Is crypto legal tender?

Is mining allowed?

Allowed

Is staking allowed?

Regulated

Is DeFi participation allowed?

Regulated

Are stablecoins allowed or regulated?

Regulated

Activity Status Matrix

Activity	Status	Details
Holding Crypto	Allowed	Is holding crypto allowed?
Crypto Trading	Regulated	Is crypto trading allowed?
P2P Trading	Allowed	Is P2P trading allowed?
Crypto Payments	Allowed	Are crypto payments allowed?
Legal Tender	No	Is crypto legal tender?
Mining	Allowed	Is mining allowed?
Staking	Regulated	Is staking allowed?
DeFi	Regulated	Is DeFi participation allowed?
Stablecoins	Regulated	Are stablecoins allowed or regulated?
NFTs	Regulated	Are NFTs allowed or regulated?
Token Launches	Regulated	Are token launches allowed?
Crypto Advertising	Regulated	Is crypto advertising allowed?
Banking Access	Regulated	Do crypto businesses have banking access?

Regulation Overview

Canada regulates crypto through federal AML/tax rules and provincial or territorial securities laws. Businesses dealing in virtual currency may be money services businesses or foreign MSBs and must register with FINTRAC before operating where the statutory tests are met. Crypto trading platforms serving Canadians can also be dealers, marketplaces or custodians under securities law and are overseen through the Canadian Securities Administrators and provincial regulators. Crypto assets are not legal tender and are not covered by ordinary deposit insurance merely because they are held through a platform.

Tax Information

CRA treats crypto dispositions according to their facts as capital transactions or business income. Barter, swaps and purchases with crypto can be taxable dispositions, and detailed records must be retained.

Individual Tax Treatment

If held as capital property, a disposition produces a capital gain or loss and the taxable portion is included in income under current tax rules. Frequent, commercial or business-like activity can instead produce fully taxable business income.

Business Tax Treatment

Crypto received or disposed of in business is measured in Canadian dollars. Businesses report income, inventory or capital results according to the nature of the activity and may have GST/HST obligations.

Canada Revenue Agency

Business & Licensing

Businesses dealing in virtual currency must register as an MSB or foreign MSB with FINTRAC when applicable. Crypto trading platforms may also need registration with provincial securities regulators and must comply with platform-specific undertakings and custody requirements.

AML / KYC Requirements

FINTRAC-regulated entities must maintain a compliance program, verify identity, keep records and submit suspicious and large virtual-currency transaction reports.

Primary Regulator

FINTRAC / Canadian Securities Administrators

fintrac-canafe.canada.ca

Crypto Laws & Regulations in Canada

Guidancecurrent_guidance

Canada Crypto Trading Platform Framework

CSA crypto trading platform registration framework

Published: March 29, 2021Effective: March 29, 2021Ref: CSA Staff Notices

Applies dealer, marketplace and custody rules to crypto trading platforms serving Canadians.

SecuritiesLicensingExchangesCustody

Official Source

Regulationeffective

Canada Virtual Currency AML Regime

PCMLTFA virtual currency MSB and reporting regime

Published: June 1, 2020Effective: June 1, 2021Ref: PCMLTFA Regulations

Brings dealing in virtual currency and large virtual-currency transactions into FINTRAC supervision.

AML/KYCLicensingPayments

Official Source

Regulationeffective

PCMLTFA Regulations — virtual-currency reporting and travel-rule amendments

Proceeds of Crime (Money Laundering) and Terrorist Financing Act — Virtual Currency Reporting and Travel Rule Amendments

Effective: June 1, 2021Ref: SOR/2019-240; SOR/2021-208 (consolidated)

Canada's PCMLTFA virtual-currency amendments require money services businesses and foreign MSBs to report large virtual-currency transactions, apply travel-rule information requirements to covered virtual-currency transfers, and support registration, records, identity verification and compliance-programme duties. The amendments came into full force in June 2021.

AML/KYCExchangesPayments

Official Source