A major development in the cryptocurrency space, the operator of the Toronto Stock Exchange, TMX Group has announced its foray into the cryptocurrency space with the launch of cryptocurrency brokerage platform. The platform will be called Shorcan Digital Currency Network or Shorcan DCN will focus on Bitcoin and Ethereum trading.
The platform is a joint partnership with Toronto-based fintech startup Paycase Financial Corp., that operates a remittance platform for mobile phones. The Banking services will be provided by Canada’s largest bank, Bank of Montréal.
The partnership will help to create a cryptocurrency benchmark based on consolidated data from the world’s leading crypto exchanges. The goal is cover 2-5 percent of the global “over the counter” OTC market initially, which is worth about $4-9 billion. According to the press release, initially, Bitcoin and Ethereum will be listed on the platform and later as per demand other cryptocurrencies will be listed.
The press release says: “Shorcan DCN is designed to leverage the combination of Shorcan Brokers’ (Shorcan) expertise in providing clients in the Canadian financial industry with liquid, efficient and reliable brokerage services with Paycase’s premier cryptocurrency data aggregation platform and established worldwide network of industry leaders and participants.”
Peter Conroy, President of Shorcan, said: “We are excited to enter into this agreement with Paycase, an industry leader with an innovative and entrepreneurial spirit.”
Joseph Weinberg, CEO of Paycase, said: “As the first ever public crypto brokerage desk by an exchange, this deal represents the true institutionalization of cryptocurrencies as an asset class.”
In Canada, cryptocurrencies are not classified under the terms of legal tender is looking forward to regulating the industry. As per a notice issued by Canadian Securities Administrators, they are considering the cryptocurrencies to be treated as securities. In recent times, Canada has been attracting many Chinese cryptocurrency mining firms as they are searching for new locations after China’s clampdown on cryptocurrencies.