Canada opens consultation on stablecoin framework, citing the US GENIUS Act.

The Canadian government has launched a 60‑day public consultation, open until Dec. 23, to gather feedback on a proposed regulatory framework for stablecoins issued by non‑financial institutions.

The draft rules would prohibit non‑financial issuers from offering interest or yield, require redemption of tokens within three business days, and limit any redemption fee to no more than 1% of the token’s value.

These measures fall under Canada’s Stablecoin Act, passed in March, which mandates registration with the Bank of Canada before issuing a stablecoin, with the regulations expected to take effect in fall 2027.

The framework aims to align with the U.S. GENIUS Act, set to become effective in January 2027, and with the EU’s MiCA rules that also target stablecoin compliance.

Summary rewritten by AI from the original article by Cointelegraph.