Dedicated to securing the world’s transition to blockchain, Brane is Canada’s leading independent provider of digital asset custody solutions. Founded in Ottawa in 2017, Brane is carbon neutral and certified to global cybersecurity standards including ISO/IEC 27001, ISO/IEC 27017, and NIST CSF Tier 4.
Brane’s insured security infrastructure empowers institutional clients to secure digital assets like Bitcoin, Ethereum, and non-fungible tokens (NFTs). The company’s leadership team includes experts from Canada’s financial institutions, technology sector, governments, military, and law enforcement agencies.
Brane’s regulated custody subsidiary, Brane Trust Company Ltd., was incorporated in Albertain October 2021 and is progressing toward registration and commencement of operations in 2022 — on track to become Canada’s first independent qualified custodian for digital assets.
Summary of Recommendations
Recommendation 1: That the Government establish a working group of key industry stakeholders and senior government officials to advance Canada’s leadership in harnessing the potential of blockchain and digital assets, including the environmental sustainability of Web3 infrastructure.
Recommendation 2: That the Government develop a cross-department task force specifically to identify and address the national security and public safety implications of blockchain technology.
Why blockchain matters: the case for action
Since Brane’s previous pre-budget submission in 2020, the need for every level of government to develop a focused policy agenda for blockchain has only grown.
As mainstream adoption of blockchain and digital assets continues to gather momentum, these technologies have collectively grown to shape the next iteration of the Internet.
Popularly known as Web3, this blockchain-powered global infrastructure is rapidly reshaping how people and institutions create, exchange, and protect value.
In an increasingly decentralized and uncertain world, Canada cannot afford to ignore the opportunities and challenges stemming from global adoption of blockchain technology.
By its very nature, the transition to Web3 requires seamless and continual collaboration between (and within) governments, private sector companies, and other stakeholders to not just fall behind, but provide much-needed leadership that positions Canada to build a safe and secure blockchain economy.
A few facts bear this out:
Canadian federal, provincial, and territorial authorities, including financial institution regulators, securities commissions, and industry self-regulatory organizations, have done important work to shape a sound regulatory and innovation environment — but there is much more work to be done. Technology is not standing still, and the world will not wait for Canada.
Brane’s vision for Canadian Web3 leadership
As a G7 country with a strong reputation for sound financial regulation, Canada remains well positioned to play a global leadership role in shaping the present and future of Web3. But this advantage will not last forever.
Fundamentally, Brane believes that Web3 must be inclusive, environmentally sustainable, and democratic. With regimes like those of Russia, Belarus, and North Korea maneuvering to exert outsized influence on global blockchain infrastructure, countries like Canada have both an opportunity and a responsibility to advance our values in the Web3 landscape.
Brane’s vision for Canadian Web3 leadership aligns with the stated values underlying the Government’s pre-budget consultation:
Canadians cannot expect any of the above to happen by default or accident. In an ever-more global economy — and especially as remote work becomes the norm for high-skilled technology jobs — governments must take concerted action to ensure the best of Web3 is built in Canada.
That the Government establish a working group of key industry stakeholders and senior government officials to advance Canada’s leadership in harnessing the potential of blockchain and digital assets, including the environmental sustainability of Web3 infrastructure.
As blockchain adoption accelerates in numerous sectors of the economy and areas of Canadians’ lives, a cross-government approach has become essential.
Information-sharing, coordination, and collaboration on blockchain and digital asset matters would improve the Government’s ability to advance sound public policy on matters including, but not limited to:
That the Government develop a cross-department task force specifically to address the national security and public safety implications of blockchain technology.
The unique characteristics of blockchain and digital assets pose new challenges for Canada’s law enforcement and intelligence agencies.
However, equipped with the appropriate tools, technology, and expertise, those agencies can be empowered to prevent and strike back against cybercrime, prosecute offences related to digital assets, and keep Canadians safe from a growing range of threats.
Building on the important work of the National Cybercrime Coordination Unit, (NC3), a task force focused specifically on these challenges should consider issues including:
Canada has an opportunity to set the global benchmark for Web3 regulation, sustainability, and innovation — if we choose to seize it.
The Brane team looks forward to supporting the Government’s efforts in this regard.
Please do not hesitate to reach out to discuss these recommendations further, or to explore how the Brane team can be of service.