Canada promises to follow the United States in regulating stablecoin

2025-11-05 16:30:07

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Canada will introduce regulations for stablecoins backed by fiat in the federal budget 2025, following America – the country that passed the GENIUS Act in July. According to the plan, stablecoin issuers must maintain sufficient reserves, have transparent redemption policies, and a risk management framework to protect user data. The Bank of Canada will spend 10 million USD over two years from 2026–2027 to implement this, then maintain costs of 5 million USD per year.

This move aims to modernize the payment system, making digital transactions faster and safer. CEO of Coinbase Canada, Lucas Matheson, believes that the new law will “change the way Canadians interact with money and the Internet.”

The stablecoin market currently stands at 309 billion USD and could rise to 2 trillion USD by 2028, as major organizations like SWIFT, Western Union, and MoneyGram ramp up the adoption of stablecoins.

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