alt Hacker News> You can still run a company from Canada under these terms, the same way every international YC batch company runs
Having a Canada-registered company is usually required to get government grants and loans from Canadian banks, although that's probably not very important to VC-backed companies. There are also some tax advantages to running a Canada-registered company if you're based out of Canada, plus it's much easier to find a local professionals (lawyers, accountants, etc.) familiar with Canadian corporations than US corporations.
None of these issues should cause too many problems, but if given a choice, as a Canadian I'd certainly prefer to run a Canada-registered company over a US-registered one.
I'm sure a lot of British people want to run UK-registered companies! I'm not saying Canadians wouldn't rationally prefer to have the option of taking investments in a Canadian corporation, just that it doesn't look like there's a lot more to this than details for your finance person, and that it's the same deal every other country gets.
Read the thread: clearly a lot of people are reading this as "you can't HQ in Canada, your team has to move".