Today in Crypto: Bank of Canada Official Urges Regulation; Bitcoin, Ether Plunge on Inflation News

The number of Canadians owning crypto assets is growing fast, requiring regulation, especially as people might not understant the risks of investing in things like bitcoin, a Bank of Canada official told Reuters.

According to Senior Deputy Governor Carolyn Rogers, as crypto assets are more integrated with the financial system, there might be more risks of instability as more people buy in.

Meanwhile, the EU is close to an agreement on key legislation to regulate crypto, Bloomberg wrote.

This would see common rules enacted in all 27 member states. The members want to resolve a few issues remaining with the Markets in Crypto-Assets (MiCA) package.

MiCA was presented in 2020 and will put European regulators at the top of the bill for supervising crypto, on issues like investor protection and crypto’s impact on financial stability.

Elsewhere, cryptocurrencies were trading in the red on Sunday (June 12), with the global crypto market cap sitting at $1.1 trillion, a Benzinga report said.

This comes as crypto market panic has seen traders liquidating their positions, with over $521 million liquidated in the last two days. The market plunged Friday on news that inflation was at the highest level since 1981.

In other news, Nigerian Exchange has plans to open up an stock exchange platform enabled by blockchain, according to Bloomberg.

The intent will be to deepen trade and add more young investors to the market.

Furthermore, the CEO of Terraform Labs, which oversaw the collapsed UST coin last month, will now have to comply with subpoenas about the sale of unregistered securities.

The Securities and Exchange Commission (SEC) is looking into info about Mirror Protocol, a trading network on the Terra ecosystem offering customers tokens close to the price of various big name companies, including Amazon and Apple.

Coinbase will be launching in Brazil, with the crypto company calling the country’s potential “enormous.”

The company has hired Fabio Plein as a new country director for Brazil.

The company also said it was glad to see Brazilian Central Bank Governor Roberto Campos Neto rolling out a new set of policy initiatives on digital assets.

In other news, Binance founder and CEO Changpeng Zhao said the SEC has been looking into the BNB exchange token, though there’s been no subpoena, a Coindesk report said.

That comes after the SEC had been reported to be asking if the BNB token was an unregistered security.

Coin Center has recently filed suit against the Treasury Department, citing a tax rule as “unconstitutional,” a company blog said.

The company says the 60501 amendment of a recent infrastructure bill that requires those getting $10,000 or more in crypto to report to the government various details about those who sent them the funds, including date of birth and Social Security number.

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