Canada’s crypto firms are stuck between two banking realities—ATB Financial, which welcomes Bitcoin and Ethereum businesses, and the country’s biggest banks, which want nothing to do with them.
On Feb. 6, Bloomberg reported that ATB Financial, a government-owned bank in Alberta, has become a crucial ally for crypto companies in Canada, as most major Canadian banks remain hesitant to provide financial services to digital asset firms.
The move has made Alberta a growing hub for blockchain businesses, with the provincial government aiming to generate $3.5 billion in revenue from crypto and tech by 2030.
ATB, which reported $28.3 billion in total deposits in 2024, has quietly supported the crypto industry for over six years. In fact, during the 2021 crypto boom, many companies relocated to Alberta just to gain access to ATB’s banking services.
However, despite its willingness to work with the industry, ATB remains a smaller player compared to Canada’s six largest banks, which control over 90% of federally regulated bank assets.
These larger institutions have largely avoided crypto firms, citing compliance concerns, regulatory uncertainty, and the risks associated with digital assets. The collapse of FTX (FTT) in late 2022 only reinforced their cautious stance.
Since then, Canada’s financial regulators have tightened oversight of the crypto industry. In Aug. 2023, the Canadian Securities Administrators and the Canadian Investment Regulatory Organization issued a notice requiring crypto platforms to register as investment dealers.
Many in the industry hoped that increased regulation would lead to greater acceptance from banks, but that shift has been slow. Even with clearer rules in place, banks remain reluctant to open their doors to crypto businesses.
As Darcy Daubaras, chief financial officer of Bitcoin miner Hive Digital Technologies, put it:
“But with many of Canada’s largest banks having limited involvement in crypto, increased regulation may not change their risk aversion.”
The growing divide
The situation in Canada contrasts with recent developments in the U.S. There, banking restrictions on crypto firms have largely been driven by government policies rather than industry hesitance.
Following Donald Trump’s return to office in Jan. 2025, his administration has taken several pro crypto stances. While this has opened the door for greater financial access in the U.S., Canada’s banking sector has remained largely unmoved, keeping most crypto companies at arm’s length.
Amid this, tensions between Canada and the U.S. have also played into market uncertainty. On Feb. 1, Trump imposed tariffs on Canadian goods, triggering a sell-off across financial markets, including crypto. Ethereum (ETH) and Bitcoin (BTC) saw sharp declines.
However, after Canadian Prime Minister Justin Trudeau secured a temporary 30-day pause on the tariffs on Feb. 3, market sentiment has since stabilized.
