Coinbase’s “Everything Exchange” Vision Faces a Regulatory Test in Canada

Coinbase Canada CEO Eric Richmond says the country needs a permanent regulatory framework instead of relying on temporary exemptions as the exchange prepares to expand into products such as crypto derivatives, tokenized assets, and decentralized finance.

TORONTO — Coinbase is looking to bring a wider range of crypto services already available to its U.S. customers to Canada, including derivatives, DeFi solutions, and tokenized financial products. However, Richmond, the exchange’s newly appointed Canadian chief executive, said Canada must move beyond short-term regulatory exemptions and establish clearer rules to support the next phase of digital asset development.

Richmond said Coinbase’s broader goal is to become more than a cryptocurrency marketplace by offering a full range of financial services built on blockchain infrastructure.

“We want to have all your financial services in one place,” Richmond said in an interview with CoinDesk during the Blockchain Futurist Conference in Toronto. He described the company’s vision as becoming an “everything exchange” that delivers always-available, seamless financial services powered by blockchain technology.

According to Richmond, achieving that goal in Canada will depend on creating a more predictable regulatory pathway for new products.

“We need to find the regulated path to launch these products for Canadians, and we have already started working toward that,” he said. Richmond has deep experience in Canada’s digital asset sector, having previously held leadership positions at crypto companies including Shakepay and Coinsquare.

Coinbase Calls for Dedicated Digital Asset Legislation

Canada has been among the early adopters of crypto regulation, becoming one of the first jurisdictions to approve spot crypto ETFs and establish registration requirements for crypto trading platforms.

However, Richmond said much of Canada’s regulatory progress has been built through staff notices, regulatory guidance, and individual exemption orders rather than a dedicated legal framework designed specifically for digital assets.

While this approach helped Canada move quickly during the early stages of crypto adoption, he argued that it has become less effective as companies look to introduce more complex products.

“This is not a new, purpose-built legislative framework, and that is something we still need,” Richmond said.

His comments come as Canada and the United States continue to take different approaches toward digital asset regulation.

A report from global law firm Norton Rose Fulbright found that both countries generally apply existing financial rules to tokenized assets based on the regulations governing their traditional counterparts. However, the U.S. has moved further by providing more detailed guidance on tokenized securities, custody requirements, collateral treatment, and capital rules.

Canada’s regulators remain focused largely on consultations, with limited exemptions available for pilot programs and interim guidance covering areas such as custody.

Although neither country has introduced a complete regulatory framework specifically for tokenized financial assets, Norton Rose said the more advanced U.S. approach could allow American companies to play a larger role in shaping future blockchain-based financial standards.

Regulatory Structure Limits Product Expansion

Richmond said Canada’s current framework has created delays in offering some products that Coinbase users in the U.S. already access.

For example, Coinbase One customers in the United States can use a stablecoin lending product that offers roughly 7% APY. Canadian users do not currently have access to that service and instead can earn up to 4.5% APY by holding USDC on Coinbase.

Richmond said one of his priorities is ensuring Canadian customers receive access to similar offerings.

“My focus is to bring the products that you see in the U.S. to Canadians,” he said.

Coinbase is also exploring access to certain crypto futures products for eligible Canadian customers through Coinbase Financial Markets, its CFTC-regulated U.S. subsidiary.

Richmond said the company was able to pursue this opportunity after receiving an international exemption from Canadian regulators. However, expanding the product to a wider retail audience would require additional approvals in Canada, unlike in the U.S., where the regulatory pathway is more directly connected to its CFTC framework.

Richmond said the difference is not simply about regulatory speed but reflects the underlying structure of each country’s rules.

“It is not necessarily just a regulatory issue; the nature of the rules themselves is different,” he said.

Push for a Unified National Crypto Framework

Despite the challenges, Richmond said he remains encouraged by Canadian regulators’ willingness to engage with the industry and consider updated digital asset rules.

He highlighted Canada’s Stablecoin Act as an example of meaningful progress, describing it as an important step toward creating clearer requirements for crypto businesses.

Following the introduction of stablecoin regulations, Tetra Trust launched CADD, Canada’s first regulated Canadian-dollar stablecoin issued by a financial institution. The project is supported by major companies and institutions, including Wealthsimple, Shopify, and National Bank of Canada.

Richmond said Canada has already proven that crypto companies can operate within a regulated environment. The next challenge is ensuring regulations can accommodate more advanced sectors, including blockchain-based payments, derivatives, tokenized securities, and decentralized finance.

Rather than forcing companies to interpret fragmented guidance, Richmond believes Canada should consolidate existing regulatory practices into a consistent national framework.

He proposed creating a “national instrument” — a unified set of securities rules approved by provincial and territorial regulators — to provide consistent standards across the country.

“When you call it a national instrument, it means every securities commission has approved the same rule, creating consistency across Canada,” Richmond said.

Such a framework would help Canada transition away from a system largely dependent on exemptions and toward a clearer regulatory environment that gives businesses and regulators greater certainty.

The approach policymakers choose could determine how quickly advanced crypto products already available to U.S. customers reach Canadian users.