The Bank of Canada Should Issue Digital Currency -Think Tank

As per research, the Canadian private sector may be interested in CAD-pegged stablecoins. 

Bank of Canada Should Start Working on Digital Currency Suggests a Think Tank

Nonetheless, the think tank did not specify if the virtual currency they described is a central bank digital currency (CBDC). However, the Institute did point out that stablecoin platforms might be granted access to the central bank’s liquidity and deposit protection to help offset the risks. Furthermore, according to the C.D. Howe Institute, such a digital currency supply might entice the private sector to get interested in crypto and eventually embrace stablecoins.

On a related note, the Canadian Securities Administrators (CSA) announced a series of rules on Thursday that target all promotion and marketing activities followed by crypto trading platforms, released in September. 

Crypto Advertising 

According to the news release, the regulator had noticed a succession of advertising banners and claims that could mislead investors. The Canadian watchdog has detected a rise in such ads aimed at domestic investors. It also reveals a habit of broadcasting casino-style adverts that do not comply with the CSA’s regulations because they encourage ‘excessive and risky trading by retail investors.’ In addition, the CSA stated that it would pay closer attention to social media advertising using cryptocurrency to ensure compliance with the new criteria. The CSA and the IIROC issued new guidance in March that explains how to determine which securities laws apply to crypto-asset trading platforms.

Specific cryptocurrency trading platforms, particularly those that preserve customer money control, must be licensed under the proposed regulatory framework. Non-custodial exchanges, on the other hand, appear to have a better chance of getting a registration exemption if they don’t allow margin or leveraged trading.