Canada Opens Consultation on Stablecoin Rules, Maintains Ban on Yield Payouts

Canada opens consultation on stablecoin rules, maintains ban on yield payouts

Under the draft rules, non-bank stablecoin issuers must back tokens 1:1 with reserves held at qualified Canadian institutions and settle redemptions within three business days.

Canada opens consultation on stablecoin rules, keeps the yield ban in place

Canada's stablecoin rules may limit innovation by restricting yield, but they provide regulatory clarity, potentially boosting market confidence.

Canada opens consultation on draft stablecoin rules, maintains ban on yields

Under the draft rules, non-bank stablecoin issuers must back tokens 1:1 with reserves held at qualified Canadian institutions and settle redemptions within three business days.

Canada’s draft stablecoin rules shut out yield and route reserves through the banks

Canada has moved to give Canadian banks a prominent role in its latest draft stablecoin regulations, backing the banks’ push for bans on stablecoin yields, while mandating non-bank issuers to park their reserves inside those same banks.  The document...