Canada Regulates Stablecoins, Scotiabank Sees Limited Impact

Canada to Regulate Stablecoins: Scotiabanks Perspective on Minimal Market ImpactCanada is set to regulate stablecoins, a type of cryptocurrency tied to assets like the Canadian dollar, following the U.S.s lead. Scotiabank believes this wont cause significant disruptions in domestic financial markets. Stablecoins, like Tethers USDT and USDC, play a crucial role in the cryptocurrency world as payment systems and for international money transfers. Despite concerns about potential asset sales due to sudden fund withdrawals, stablecoins impact on the global financial system remains limited, with their value currently holding at around $185 billion in the U.S. alone. Canada sees potential benefits in cross-border payments, such as reduced costs, improved liquidity, and 24-hour settlements, as long as issuers remain financially stable.The Daily News Now! — Every city. Every story. AI-powered. Hosted on Acast. See acast.com/privacy for more information.