Canada Begins March Toward Stablecoin Regulations

Following the lead of the U.S. GENIUS Act, the Canadian government announced in Budget 2025 its commitment to legislation regulating stablecoins backed by the Canadian dollar. The framework will require issuers to maintain adequate 1-1 asset reserves, establish redemption policies, implement risk management, and protect sensitive Canadian data, with the Bank of Canada overseeing the effort. Crypto advocates, including the Canadian Web3 Council, praised the move for fostering competition and reducing transaction costs, viewing it as an excellent step for financial innovation. Industry leaders emphasized the need for the resulting framework to remain open, proportional, and accessible, and noted the importance of regulating stablecoins as payment instruments rather than securities.

(Source：CoinDesk)