Canada advances stablecoin framework ahead of next week’s federal budget update: Bloomberg
Canada is accelerating the development of a stablecoin regulatory framework, aiming to include it in the upcoming federal budget update.Summary
Canada is rapidly working to establish a regulatory framework for stablecoins, with plans to incorporate it into the federal budget scheduled for November 4, according to Bloomberg sources. Discussions among the Department of Finance Canada and other agencies have focused on classifying stablecoins—as securities or derivatives—and preventing capital flight toward USD-backed tokens. Industry leaders have stressed the need for clarity to prevent Canadian capital from moving south, which could weaken the Bank of Canada's monetary control. This move occurs as the U.S. passes its own stablecoin legislation, the GENIUS Act, despite facing criticism from figures like Senator Elizabeth Warren and Fed Governor Michael Barr over perceived gaps. Globally, Europe (MiCA) and Asian nations like Japan and Hong Kong are also advancing their stablecoin policies amid a sector supply nearing $300 billion.
(Source：The Block)