Canada unveils proposed stablecoin regulations

The Canadian government has published draft regulations under its Stablecoin Act in the Canada Gazette, opening a 60-day consultation. The rules cover reserve assets for issuers, ban marketing stablecoins as legal tender or insured deposits, prohibit paying interest to holders, and give the Bank of Canada enforcement powers.

• Draft rules published in the Canada Gazette with a 60-day consultation period
• Issuers barred from marketing stablecoins as legal tender, bank deposits or insured products
• Interest payments to holders prohibited; reserve asset requirements set for issuers
• Global stablecoin supply tops $380 billion with over $14 trillion in yearly volume