Coinsquare Capital Markets Inc. (“Bitbuy”) is offering crypto contracts to purchase and sell Bitcoin Cash in reliance on a prospectus exemption granted by the Canadian Securities Administrators (CSA) in the exemptive relief decision dated October 12, 2022. The statutory rights of action for damages and the right of rescission in section 130.1 of the Securities Act (Ontario) and similar legislation in the other CSA jurisdictions do not apply in respect of a misrepresentation in this statement to the extent that a crypto contract is distributed under the above-noted prospectus relief.
No securities regulatory authority in Canada or any other jurisdiction has expressed an opinion about any of the crypto assets (or crypto contracts) that are available through Bitbuy’s platform, including an opinion that the crypto assets are not themselves securities and/or derivatives.
Bitbuy has compiled the information contained in this Crypto Asset Statement to the best of its ability based on publicly available information.
Bitcoin Cash (BCH) is a cryptocurrency created in August 2017 from a hard fork of the Bitcoin blockchain. It was developed to address scalability issues by implementing a larger block size, which allows for a greater volume of transactions to be processed within a single block compared to Bitcoin. A primary distinction of this fork was the intention to establish an independent network with a separate roadmap and community, rather than functioning as an upgrade or enhancement to the original Bitcoin protocol. As of January 2026, Bitcoin Cash remains one of the most established forks of the original Bitcoin network, continuing to focus on providing a decentralized peer-to-peer electronic cash system with low transaction fees.
As with all assets, investing in Bitcoin Cash is not without some general risks. Many of these risks are identified and explained in our Risk Statement. In addition to the general risks, we outline some risks that are specific to Bitcoin Cash below. While we make an effort to identify every source of risk, we encourage you to do your own research and ensure you are comfortable investing in Bitcoin Cash.
Bitcoin Cash follows a programmed halving schedule that reduces the block reward by 50% approximately every four years, or every 210,000 blocks. The most recent halving occurred in April 2024, which reduced the mining reward from 6.25 BCH to 3.125 BCH per block. While previous halvings led to concerns regarding miner migration, the network has maintained a stable hashrate, which stood at approximately 4.80 exahashes per second (EH/s) as of late 2025. However, because BCH shares the same SHA-256 mining algorithm as Bitcoin (BTC), its security remains influenced by the relative profitability of the two chains. If the price of BCH fails to keep pace with operational costs following future halvings—the next of which is expected in 2028—miners may divert computational power to more profitable chains, potentially increasing the network's vulnerability to 51% attacks or other security threats.
To be made available for trading on Bitbuy’s platform, a digital asset must pass the following due diligence reviews:
Bitbuy undertakes these three levels of due diligence in order to determine whether the digital asset is compliant with our legal and regulatory obligations, is secure, and has historical data supporting a beneficial business case. Bitbuy’s New Product Committee must provide final approval for a new digital asset to be made available on the platform.
Last updated: January 28, 2026
