From August 31, cryptocurrency exchange Coinbase will prohibit trading of the Tether (USDT), Dai (DAI), and RAI stablecoins for Canadian users.

Coinbase stated in an email to users on August 17 that it "regularly monitor the assets" on the exchange to "ensure they meet our listing standards," and that based on its evaluation, trading of the aforementioned stablecoins will be unavailable to Canadian users beginning in September.

The exchange only recently created its Canadian division; however, services were already offered to Canadian consumers.

After the deadline, Canadian users can still deposit and withdraw stablecoins. The exchange stated in a statement:

“Coinbase Canada, Inc. has filed an application for registration in certain Canadian jurisdictions but has not yet obtained registration. Until such time as Coinbase Canada, Inc. obtains registration, it has agreed to abide by the terms of an undertaking.”

Crypto.com, another digital asset exchange, delisted USDT for Canadian users earlier this year. The Ontario Securities Commission prohibited the use of USDT in 2021, but it never explained why.

Sources:

https://cointelegraph.com/news/breaking-coinbase-to-suspend-usdt-trading-for-canadian-users

https://blockworks.co/news/tether-coinbase-canada-trading