Crypto
Canada moves to bar federally regulated financial institutions from directly issuing stablecoins
Canada is seeking to ban federally regulated financial institutions from directly issuing stablecoins. The proposal is included in the government’s 2026 federal budget plan and would amend the Bank Act, Trust and Loan Companies Act and Insurance Companies Act. Issuance would be allowed only through non-financial subsidiaries subject to Stablecoin Act rules. Canada also plans to bring certain foreign institutions under stablecoin regulation and is reviewing stronger consumer protection measures.
