Participating CSA members: British Columbia Securities Commission, Alberta Securities Commission, Financial and Consumer Affairs Authority of Saskatchewan, Manitoba Securities Commission, Autorité des marchés financiers, Financial and Consumer Services Commission of New Brunswick, and Nova Scotia Securities Commission.
Data privacy laws in many international jurisdictions are developing in a manner that aims to give consumers or investors greater rights to control their own data. This has manifested in a number of ways, including new laws requiring businesses to, upon request by the individual, communicate to the individual or a third party computerized personal information collected by the businesses in a structured and commonly used technological format.
Although data portability laws have not yet been adopted in most provincial jurisdictions of Canada, it is nevertheless important for CSA staff to better understand from industry participants how incoming technological or regulatory changes can affect how the participants comply with securities regulation.
Our first theme will seek to provide the CSA with a greater understanding of the impacts of data portability solutions and in particular the collection, analysis and transfer of client data using digital means, which is sometimes referred to as e-KYC solutions.
We welcome feedback and comments from any interested parties from all jurisdictions in Canada or abroad.
Phase 1: Introduction of the CSA Collaboratory and Consultation on Data Portability and e-KYC (90 days)
The first phase is the issuance of this discussion paper and consultation questions on Data Portability and e-KYC. Our aim is to use the feedback obtained in response to these consultation questions to identify participants and topics most relevant for discussion in the second phase, an industry consultation forum.
The comment period on Phase 1 closed May 19,2025.
Phase 2: Industry Consultation Forum
The second phase is a consultation consisting of multiple thematic industry roundtables and other communication forums. Our aim is to use the feedback obtained in the consultation to assess the necessity, appropriateness, and form of a potential phase three live testing environment.
As part of this consultation, three hybrid format forums are being held. The first took place in Vancouver in May, the second will take place in Calgary in September, and the third will follow in Montreal in November. These forums are structured as a continuation of one another, with each session building on insights and feedback from the preceding forum. This approach is intended to support a progressively deeper and more focused discussion of the key issues, allowing for a comprehensive exploration of the opportunities and challenges related to the adoption of e-KYC.
The consultation is expected to center on several key themes, including the effectiveness of e-KYC in mitigating financial risks, challenges related to the centralization of customer data, privacy concerns, and potential regulatory barriers to the widespread adoption of e-KYC. Additional topics may include the role of technological innovations such as artificial intelligence and blockchain in enhancing e-KYC processes and understanding whether other areas of securities legislation may be potentially impacted by Data Portability obligations in some jurisdictions.
The consultation will seek input on how best to measure these outcomes and how e-KYC can be implemented in a way that maximizes market efficiency while maintaining investor protection. The feedback gathered during this phase will inform the next steps of the initiative and help identify any additional areas requiring regulatory attention.
Forum One: Vancouver
The first forum was held on May 27, 2025 in Vancouver, British Columbia. Topics discussed included potential regulatory barriers to the adoption of e-KYC, the impact of Canada’s Consumer-Driven Banking Framework on a potential live testing environment, how the CSA can facilitate industry-wide collaboration on data portability standards, and the CSA’s consideration of other legal frameworks that may impact the adoption of data portability.
Forum Two: Calgary
The second forum will be held on September 18, 2025 in Calgary, Alberta. The themes explored in the second forum will build upon the topics discussed and feedback shared in the first forum. The second forum will also introduce new and specific topics related to data portability.
Forum Three: Montreal
The third forum is planned to take place in Montreal, Quebec. Further information regarding the date, format, and topics for discussion will be communicated in due course.