- FINTRAC in Canada has revoked registration of 43 crypto businesses.
- Canada earlier acted against users of Dapper Labs on suspicion of unpaid taxes.
- The UK is seeking a ban on political crypto donations.
Canada, in the most recent crackdown, has revoked the registration of over 40 crypto businesses. This is in continuation of its efforts to actively monitor the presence of malicious actors in the industry. It earlier acted against users of Dapper Labs for non-compliance with tax regulations. A similar sentiment is emerging in the UK, except the stance is in its political section.
Canada on Crypto Firms
Registration for as many as 43 crypto businesses has been revoked as a part of broader crackdown by the Financial Transactions and Reports Analysis Centre of Canada. Also known as FINTRAC, Canada’s financial intelligence agency acted on these firms for failing to oblige anti-money laundering and reporting compliances.
FINTRAC earlier imposed a fine of $126 million on Cryptomus, a cryptocurrency platform. It was noted to be non-compliant with relevant procedures along with several alleged violations like non-reporting of suspicious transactions.
Canada is one of the many countries that have intensified monitoring over the crypto segment. The core focus is on supervising AML compliance and reporting of transactions that do not align with national interests. The US, the UK, and Canada have even jointly launched Operation Atlantic.
Dapper Labs in the Picture
Dapper Labs, an NFT venture, came under the scanner towards the end of 2025. The tax authority of Canada acted against almost 2,500 users, accusing them of unpaid taxes worth approximately $54 million, or C$72 million, at that time.
This reportedly falls under the scope of the CRA, or Canada Revenue Agency, which has recovered C$100 million in the last 3 years through audits.
It was last reported that no criminal charges were laid. However, authorities did seek and receive approval to secure information about thousands of users under the unnamed persons requirement. This liberates the company from any wrongdoing while helping tax authorities to get records about an identifiable group of taxpayers.
Scenario in the UK
A similar scenario has come up in the UK, but in the political sector. MPs have sought a ban on crypto donations to political parties, citing concerns about outside or foreign interference. The objective is to strengthen trust in the politics of the nation.
Even though it’s temporary, the ban could go on to hurt the Reform UK party, given that it has received more than £3 million in crypto donations so far. The party could also go through some turmoil because of not sharing crypto wallet addresses of its donors, reportedly.
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Source: https://thenewscrypto.com/canada-cracks-down-on-crypto-firms-over-non-compliance/
