OSC Potential Securities Law Requirements for Businesses Using Blockchain
Mar 08, 2017
On March 8, 2017, the Ontario Securities Commission (OSC) advised businesses that use distributed ledger technologies (DLT), such as blockchain, as part of their financial products or service offerings that they may be subject to Ontario securities law requirements.
Businesses are using DLT in a variety of ways. DLT may be used as the underlying technology in trading, clearing and settling securities.
“Many uses of distributed ledger technologies have the potential to increase transparency and efficiencies in our capital markets, and we are keen to support this type of innovation,” said Pat Chaukos, Chief of OSC LaunchPad. “Because this is a novel area, businesses may not be aware that some uses of this technology could trigger securities law requirements. We encourage these businesses to speak with us about securities law and investor protection requirements that may apply.”
Review the press release on the OSC's website.
