Canada Expedites Stablecoin Regulations Amid U.S. Market Risks
Canada is accelerating stablecoin regulations ahead of Finance Minister François-Philippe Champagne's November 4 federal budget release. John Ruffolo, founder of Maverix Private Equity and digital policy advocate, warns that delays could drive capital to U.S. dollar-pegged stablecoins, eroding domestic bond markets and monetary control.
Unregulated U.S. stablecoins pose systemic risks—every transaction funds American debt while exporting Canadian financial data. Ruffolo stresses urgency: "If Canadian-dollar stablecoins aren't regulated, savers will flock to U.S. alternatives, tightening interest rates and ceding monetary sovereignty." The Bank of Canada's oversight capacity WOULD diminish as U.S. regulators gain influence over dollar-backed reserves.
