Canada\u2019s Office of the Superintendent of Financial Institutions (OSFI) has opened a consultation period on crypto-asset disclosure requirements for federally regulated financial institutions. The consultation was foreseen in the 2023 federal budget, but its timing is tied to a similar inquiry initiated by the Bank for International Settlements (BIS).<\/p>\n
The Canadian government stated in March that it would draw up crypto exposure guidelines for banks \u201cto help protect Canadians\u2019 savings and the security of our financial sector.\u201d The provision is found in Section 5.4 of the budget, titled \u201cCombatting Financial Crime.\u201d The budget also stated that federally regulated pension funds will be required to disclose their crypto exposure to the OSFI \u2014 no consultation is required. <\/p>\n
Canadian pension funds had a painful experience with crypto in 2022. The Caisse de D\u00e9p\u00f4t et Placement du Qu\u00e9bec, Canada\u2019s second-largest pension fund, lost 200 million Canadian dollars ($154.7 million) in the Celsius bankruptcy. The Ontario Teachers\u2019 Pension Plan wrote off $95 million in FTX and FTX US investments in November 2022 and stated in April that it was swearing off crypto for good. CPP Investments, Canada\u2019s largest pension fund, canceled all crypto research in December. <\/p>\n