Canada opens consultation on stablecoins, citing US GENIUS Act
Summary
Canada opened a 60-day consultation, through Dec. 23, on proposed rules for stablecoin issuers that are not financial institutions. The proposals would prohibit issuers from paying interest or yield, require redemption within three business days, and cap redemption fees at 1% of token value. Under the Stablecoin Act, issuers would also have to register with the Bank of Canada before issuing stablecoins. The government expects the rules to take effect in fall 2027 and says they are intended to align with other jurisdictions’ frameworks and reduce compliance burdens for issuers operating across borders.
