Think Tank Recommends Bank of Canada to Issue Digital Currencies
- The report says that the private sector in Canada could get interested in CAD-pegged stablecoins.
The C.D. Howe Institute, a think tank, commented on Wednesday that the Bank of Canada (BoC) should consider issuing a digital currency. According to Global News, the think tank believes that stablecoins pegged to the Canadian dollar could become attractive for the consumers if they can be converted into cash. That said, the Institute pointed out that stablecoin platforms can be given access to the central bank’s Liquidity Liquidity The term liquidity refers to the process, speed, and ease of which a given asset or security can be converted into cash. Notably, liquidity surmises a retention in market price, with the most liquid assets representing cash.The most liquid asset of all is cash itself.· In economics, liquidity is defined by how efficiently and quickly an asset can be converted into usable cash without materially affecting its market price. · Nothing is more liquid than cash, while other assets represent The term liquidity refers to the process, speed, and ease of which a given asset or security can be converted into cash. Notably, liquidity surmises a retention in market price, with the most liquid assets representing cash.The most liquid asset of all is cash itself.· In economics, liquidity is defined by how efficiently and quickly an asset can be converted into usable cash without materially affecting its market price. · Nothing is more liquid than cash, while other assets represent facilities and deposit insurance to mitigate the risks involved. Still, the think tank was not clear if the virtual currency they mentioned is specifically a central bank digital currency (CBDC). Moreover, the C.D. Howe Institute believes that such a digital currency issuance could encourage the private sector to get interested in the crypto field and eventually adopt these kinds of stablecoins. On another Canadian crypto-related front, the Canadian Securities Administrators (CSA) released in September a set of guidelines on Thursday, targeting all advertising and marketing campaigns pursued by crypto trading platforms. According to the press release, the regulator had observed a series of advertising banners and statements that could mislead investors.
Crypto Advertising in Canada
The Canadian watchdog noticed a pick-up in such campaigns targeting domestic investors. Additionally, it unveils a pattern of displaying casino-style ads that do not meet the requirements of the CSA because they encourage ‘excessive and risky trading by retail investors.’ Moreover, the CSA said that it would pay closer attention to social media advertising related to Cryptocurrencies Cryptocurrencies By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw to make sure it is compliant with the new guidelines. In March, both the CSA and IIROC issued new guidance determining securities law requirements that apply to crypto-asset trading platforms. The proposed regulatory framework includes mandatory licensing for certain cryptocurrency trading platforms, particularly those that maintain customer funds control. However, non-custodial exchanges appear more likely to benefit from a registration exemption, provided that they do not offer margin or leveraged trading.
The C.D. Howe Institute, a think tank, commented on Wednesday that the Bank of Canada (BoC) should consider issuing a digital currency. According to Global News, the think tank believes that stablecoins pegged to the Canadian dollar could become attractive for the consumers if they can be converted into cash. That said, the Institute pointed out that stablecoin platforms can be given access to the central bank’s Liquidity Liquidity The term liquidity refers to the process, speed, and ease of which a given asset or security can be converted into cash. Notably, liquidity surmises a retention in market price, with the most liquid assets representing cash.The most liquid asset of all is cash itself.· In economics, liquidity is defined by how efficiently and quickly an asset can be converted into usable cash without materially affecting its market price. · Nothing is more liquid than cash, while other assets represent The term liquidity refers to the process, speed, and ease of which a given asset or security can be converted into cash. Notably, liquidity surmises a retention in market price, with the most liquid assets representing cash.The most liquid asset of all is cash itself.· In economics, liquidity is defined by how efficiently and quickly an asset can be converted into usable cash without materially affecting its market price. · Nothing is more liquid than cash, while other assets represent facilities and deposit insurance to mitigate the risks involved. Still, the think tank was not clear if the virtual currency they mentioned is specifically a central bank digital currency (CBDC). Moreover, the C.D. Howe Institute believes that such a digital currency issuance could encourage the private sector to get interested in the crypto field and eventually adopt these kinds of stablecoins. On another Canadian crypto-related front, the Canadian Securities Administrators (CSA) released in September a set of guidelines on Thursday, targeting all advertising and marketing campaigns pursued by crypto trading platforms. According to the press release, the regulator had observed a series of advertising banners and statements that could mislead investors.
Crypto Advertising in Canada
The Canadian watchdog noticed a pick-up in such campaigns targeting domestic investors. Additionally, it unveils a pattern of displaying casino-style ads that do not meet the requirements of the CSA because they encourage ‘excessive and risky trading by retail investors.’ Moreover, the CSA said that it would pay closer attention to social media advertising related to Cryptocurrencies Cryptocurrencies By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw By using cryptography, virtual currencies, known as cryptocurrencies, are nearly counterfeit-proof digital currencies that are built on blockchain technology. Comprised of decentralized networks, blockchain technology is not overseen by a central authority.Therefore, cryptocurrencies function in a decentralized nature which theoretically makes them immune to government interference. The term, cryptocurrency derives from the origin of the encryption techniques that are employed to secure the netw to make sure it is compliant with the new guidelines. In March, both the CSA and IIROC issued new guidance determining securities law requirements that apply to crypto-asset trading platforms. The proposed regulatory framework includes mandatory licensing for certain cryptocurrency trading platforms, particularly those that maintain customer funds control. However, non-custodial exchanges appear more likely to benefit from a registration exemption, provided that they do not offer margin or leveraged trading.