Canada plans to regulate stablecoins in 2025 federal budget
Canada will regulate stablecoins in its 2025 federal budget under the Bank of Canada's oversight via the Retail Payment Activities Act.Summary
Canada is planning to introduce stablecoin regulation in its 2025 federal budget to enhance investor confidence and align with international standards. The regulatory oversight will fall under the Bank of Canada, administered through the Retail Payment Activities Act. This framework will mandate that stablecoin issuers—entities backing digital tokens with fiat currency—implement reserve requirements, risk management protocols, redemption policies, and data protection measures. Canada's move mirrors aspects of the US GENIUS Act, which treats stablecoin activities similarly to traditional banking. Experts see this adoption of reserve and risk frameworks as a positive step toward mainstream cryptocurrency legitimacy and potentially facilitating cross-border stablecoin usage.
(Source：Crypto Briefing)