Canada has opened a 60-day consultation on proposed regulations for stablecoin issuers, with comments due by December 23, 2026. The draft would require issuers to redeem tokens on request within three business days, with no minimum redemption amount and fees capped at 1% of the amount redeemed. Issuers would also have to maintain eligible reserve assets worth at least the value of outstanding stablecoins. The proposal limits reserve investments to specified high-quality liquid assets and requires a public redemption policy. It maintains the prohibition on issuers paying interest or yield for holding stablecoins, including through indirect arrangements, while allowing transaction-based rewards. The proposed regulations were published in the Canada Gazette on October 24, 2026.

Why it matters

  • The draft would set limits on redemption timing and fees for covered stablecoin issuers.
  • The consultation remains open until December 23, 2026; the requirements are proposed, not final.