Coinbase to Track Off-Platform Crypto Transfers in Canada, Singapore, and Japan
Citing compliance with local jurisdictions, crypto exchange Coinbase announced that it will soon be collecting additional information from users based in Canada, Singapore, and Japan.
Starting April 1, Coinbase users from Canada, Singapore, and Japan will be required to provide additional information when sending cryptocurrencies to a different (non-Coinbase) platform.
However, while Singaporean and Japanese investors will be required to share additional recipient information for each off-platform transaction, Canadians sending less than $801 (CAD 1,000) will be exempt from this requirement.
As shown in the screenshot above, Canadian users will need to share the recipient’s full name and residential address.
Additionally, Canadian users – who meet the above two conditions – will legally require to provide (self) recipient information even when transferring funds between their own crypto wallets.
On the other hand, Japanese and Singaporean regulations will require Coinbase to collect recipient information from local investors for every off-platform transaction with no minimum threshold.
Like Canadian users, Japanese investors will need to disclose information including the name and full address of the recipient, as well as the name of the crypto exchange that manages the wallet.
Singapore users will not need to provide the recipient’s residential address, but only need the recipient’s name and country of residence. The absence of any required information will prevent the user from sending cryptocurrencies out of the Coinbase platform for the jurisdictions in question.
Coinbase users who no longer reside in these jurisdictions will need to update their country of registration in order to obtain an exemption from the soon-to-be-implemented rule.
Related: Thai SEC Bans Crypto Payments, Seeks Disclosure of System Failure from Exchanges
For many jurisdictions, the path to mainstream crypto adoption is paved with strict regulations under the guise of investor protection. Starting in April 2022, the Thailand Securities and Exchange Commission (SEC) announced a nationwide ban on crypto payments.
Complementing this law, the SEC has also proposed a new rule that, if implemented, will require Thailand-based crypto businesses – brokers, exchanges and dealers – to disclose information about the quality of service and the use of computers.
As Cointelegraph reported, a joint study between the Thai SEC and the Bank of Thailand (BOT) concluded that:
“[Crypto payments] may affect the stability of the financial system and the overall economic system, including risks to people and businesses.