Canada's FINTRAC Revokes Registrations of 23 Crypto MSBs

Canada's Financial Transactions and Reports Analysis Centre (FINTRAC) has taken a significant step in regulating the cryptocurrency sector by revoking the registrations of 23 money services businesses offering crypto-related services.

The affected companies were registered under Canada's Proceeds of Crime (Money Laundering) and Terrorist Financing Act (PCMLTFA), which requires them to implement customer due diligence, submit transaction reports, maintain records, and establish written AML compliance frameworks approved by senior management.

FINTRAC cited failure to respond to information requests in a timely manner, non-compliance with registration eligibility conditions, failure to update relevant records, and prior convictions related to money laundering or terrorist financing as grounds for revocation.