Laure Fouin and Matthew Burgoyne mix experience for crypto purchasers in Canada

Laure Fouin and Matthew Burgoyne mix experience for crypto purchasers in Canada


Writer(s):
Laure Fouin, Matthew T. Burgoyne

Aug 24, 2022

Matthew Burgoyne and Laure Fouin have joined Osler as Co-Chairs of the agency’s Digital Belongings and Blockchain Group. Matthew will likely be based mostly in Calgary whereas Laure Fouin will likely be in Osler’s Montréal workplace. Collectively they create a depth and breadth of expertise working with each startup and institutional purchasers and regulatory regimes.

Laure Fouin and Matthew Burgoyne mix experience for crypto purchasers in Canada

Q: You each have dynamic practices that concentrate on monetary services regulation, securities regulation and securities points dealing with the cryptocurrency business. What you within the work that surrounds the event of this sector and bringing that experience to Osler?

Laure: My observe has all the time been centered totally on monetary services and regulation. In 2015, I began getting concerned with fintechs and making use of current legal guidelines and regulation to new sorts of enterprise fashions and merchandise. I additionally focus on securities registration. In the previous few years, the principle regulatory facet that affected crypto is that crypto platforms have to be registered below the securities registration regime, with tailor-made phrases and circumstances established over time by securities regulators. Osler has proven a robust willingness to steer on this area and I believe we’ve the means to develop on this sector. The truth that we span the whole nation with the assistance of the extraordinarily well-known Rising and Excessive Progress Corporations observe is why I believe Osler is the perfect place to be doing this work on digital property.

Matthew: My background is much like Laure’s in that I’ve all the time centered on particular industries in my profession — I am a company and securities lawyer. Early in my profession I centered on the mortgage funding company and personal lending area. Most of my purchasers have been in that business and very like what’s taking place with crypto now, there have been some laws handed in Alberta that modified the regulation so that each one mortgage funding companies have been funding funds in Alberta. We had to assist purchasers register as funding fund managers, restricted portfolio managers and exempt market sellers. I found bitcoin in 2013 and I used to be entrepreneurial with an eye fixed to constructing my observe in that space. Instantly previous to coming to Osler, about 85{7e44665ad31c7163a3225b5cdeca12ae8e1ba5a9651d05b2285576263eb8f3ac} of my purchasers have been within the cryptocurrency and blockchain area.

A lot of my work entails serving to small- and- medium sized entities analyze how the regulation may apply to their enterprise. As soon as we decide what their enterprise is and supply an evaluation, we might help to include and construction the corporate, assist the corporate elevate cash by way of seed financing, personal placements and dealing with VC funders. We are able to additionally assist draft specialised agreements that the shopper may want in the midst of their enterprise, every part from phrases of service to M&A documentation. We additionally assist purchasers who’re the topic of securities regulatory investigations. I’m hoping to develop what I’ve already constructed and supply higher service to my Ontario-based purchasers and to my worldwide purchasers. Now I can help purchasers who want further providers in tax, mental property, and derivatives.

Matthew Burgoyne Quote

Q: Why are you drawn to this space of regulation? What’s the most satisfying facet of it for you?

Laure: I like deciphering the regulation and dissecting it to use it to a brand new enterprise mannequin or product. We each additionally respect modern companies, being entrepreneurial and taking a look at issues with a brand new lens. We work on making certain compliance with securities regulation that may be very particular and analyzing it with individuals who have a totally new method of taking a look at issues, like entrepreneurs that come from the tech or capital markets world and try to offer modern merchandise that end-users need. We’re a part of constructing a market that balances investor safety with innovation.

Matthew: We are able to actually function thought leaders and assist form coverage and form regulation. I believe the regulators wish to us to current new concepts and assist educate them and provide you with concepts on how sure legal guidelines ought to be interpreted. It is very thrilling being on the slicing fringe of a brand-new business. The idea of getting a decentralized finance system is intellectually interesting to me. I believe there’s some worth to eradicating previous institutional intermediaries in monetary transactions. There are implications for different areas of the financial system, not simply finance. We may see blockchain know-how utilized to healthcare, wills and estates, actual property — I believe we’ll see a number of disruptive exercise. Most of all I actually take pleasure in working towards in an business that’s leading edge and that may be a little bit controversial. I am like Laure, I like I like dipping my foot in one thing that is a bit bit controversial and distinctive.

Q: How do you assume your mixed backgrounds in regulation will serve purchasers?

Laure: I believe our backgrounds are complementary in all respects, we’ve completely different experience, background, and even geographical areas, and collectively we are able to higher serve purchasers. I can flip to Matt for sure issues, and he can flip to me for sure issues. I would not have performed this alone. Along with Matt we’ve the total package deal. Matt’s deep data of the area, the entrepreneurial element, and being concerned on this sector since 2013, that is an enormous asset to have.

Q: What are the main challenges proper now for the purchasers you are coping with?

Matthew: There’s the price to adjust to current laws. It is a problem for some to register as a securities vendor which may be an costly endeavour. There’s nonetheless some regulatory uncertainty in Canada because it pertains to sure features of cryptocurrency, like decentralized finance. There’s additionally some regulatory uncertainty as to how issuers of sure cryptocurrencies are labeled below securities legal guidelines. There’s all the time the specter of regulation and that it’s going to place a damper on the business.

Laure: I might add that with the current liquidity disaster and valuation drops, some have needed to make the very tough determination of restructuring or freezing sure asset withdrawals. This is without doubt one of the issues that may have an effect on customers immediately and public confidence. That is one thing we might want to handle and assist in distinguishing the great from the dangerous to revive the legitimacy of the area. That is perhaps one of many greatest dents within the fame of the digital property sector that we might want to get by way of – and to get by way of it, we’d like robust gamers that safe purchasers’ property.

Q: The place are the alternatives for each the establishments and the startups proper now?

Matthew: I believe there’s a big want for regulatory compliant NFT [Non-Fungible Tokens] platforms in Canada. There are a couple of platforms in existence proper now, but it surely’s hardly an oversaturated market. The crypto buying and selling exchanges are a bit oversaturated proper now, however there are undoubtedly companies which might be utilizing NFTs in numerous methods, comparable to for gaming. I believe there’s nonetheless room to innovate and there is a market in Canada for these sorts of merchandise which might be distributed in a regulated method. Additionally, simply tying in current crypto infrastructure and companies in numerous methods for purposes within the metaverse. This concept of a decentralized web is going on — taking management away from Fb and Google and placing it within the fingers of entrepreneurs and small companies. I believe for small companies and entrepreneurs there’s big potential regardless of the present downturn.

Q: From the institutional facet, do you see that also they are trying to forge forward with new plans?

Laure: Sure, the downturn doesn’t negate the capabilities of bitcoin, digital property and blockchain basically to remodel monetary providers and the alternatives that they characterize for monetary establishments to boost their merchandise choices. This can be a time for market maturing and consolidation.

Q: How do you propose to develop the Digital Belongings and Blockchain observe at Osler?

Laure: I believe we will likely be rising the observe by having this multidisciplinary workforce that is ready to serve purchasers in each facet of what they do. We’ve individuals who can go in entrance of the OSC (Ontario Securities Fee) and different regulators to characterize purchasers. Now we’ve this power of a full-service agency together with Matt and I being the translators between the digital property and blockchain space and these specialists.