Canada Tightens Crypto Regulations for VASPs in 2025

Canada, a pioneer in crypto regulation since its 2014 AML framework, continues to refine its approach without introducing new laws in 2025. Authorities are sharpening oversight of VIRTUAL Asset Service Providers (VASPs), maintaining the delicate balance between innovation and investor protection.

Payments Canada's Real-Time Rail (RTR) initiative advances, with 2025 earmarked for testing phase of its modernized payment infrastructure. The system promises 24/7 settlement and enriched data capabilities, potentially reshaping crypto transaction flows.

Recent regulatory milestones include British Columbia's crypto mining restrictions through its Utilities Commission and OECD-led proposals for automated tax information exchange. The capital gains inclusion rate adjustment, effective June 2024, remains the most recent fiscal policy impacting digital asset holders.