Canadian Regulator Alerts Police to Tweets by Coinbase and Kraken Advocating Non-Custodial Wallets

Canada’s securities regulator has flagged tweets by Coinbase CEO Brian Armstrong and Kraken CEO Jesse Powell encouraging folks to make use of non-custodial wallets to evade freeze orders by the Trudeau authorities. “We are conscious of this info and have shared it with the RCMP and related federal authorities,” stated the Canadian regulator.

Tweets by CEOs of Coinbase and Kraken Flagged to Police

Canadian regulator, the Ontario Securities Commission (OSC), has alerted the Royal Canadian Mounted Police (RCMP) and different federal authorities to tweets regarding Canada’s Emergencies Act posted by Coinbase CEO Brian Armstrong and Kraken CEO Jesse Powell, the Logic reported final week.

The two crypto change executives criticized the invocation of Canada’s Emergencies Act. They warned concerning the hazard of utilizing custodial wallets, advocating the usage of non-custodial wallets to forestall funds in them from being frozen.

Kristen Rose, the OSC’s supervisor of public affairs, was quoted by the publication as saying:

We are conscious of this info and have shared it with the RCMP and related federal authorities.

Both Kraken and Coinbase are registered with the Financial Transactions and Reports Analysis Centre of Canada (FINTRAC) as money-services companies.

Kraken’s Powell tweeted just a few instances concerning the significance of utilizing non-custodial wallets final week. “Please don’t fund causes straight from custodial wallets. I’m certain freeze orders are coming. Withdraw to non-custodial earlier than sending,” one tweet reads. He additionally admitted in a distinct tweet that he donated one bitcoin to Honkhonkhodl for Canadian Freedom Convoy truckers.

In one other tweet, the Kraken boss responded to a query about whether or not his crypto change could possibly be ordered by the police to freeze belongings with out judicial consent. Powell replied:

100% sure it has/will occur and 100% sure, we can be pressured to conform. If you’re nervous about it, don’t hold your funds with any centralized/regulated custodian. We can not defend you. Get your cash/money out and solely commerce p2p.

Coinbase’s Armstrong equally burdened the significance of non-custodial wallets. Commenting on monetary establishments and exchanges freezing accounts and crypto wallets associated to the Freedom Convoy protest, he tweeted final week:

Concerning to see stuff like this taking place in any nation, particularly such an economically free place like Canada. Self-custodial wallets are vital.

The Trudeau authorities invoked the Emergencies Act in Canada final week. The RCMP subsequently ordered banks, monetary establishments, and cryptocurrency exchanges to freeze accounts and crypto wallets with ties to the Freedom Convoy protest. The authorities even warned that more accounts will be frozen.

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