Stablecoin Act (S.C. 2026, c. 3, s. 600)

Marginal note:Short title

1 This Act may be cited as the Stablecoin Act.

Marginal note:Definitions

2 The following definitions apply in this Act.

Bank

Bank means the Bank of Canada. (Banque)

Centre

Centre means the Financial Transactions and Reports Analysis Centre of Canada. (Centre)

certified accountant

certified accountant means an individual who is a member in good standing of a professional body of accountants that is constituted by or under an Act of Parliament or a provincial or foreign law. (comptable certifié)

digital asset

digital asset means a digital representation of value that is recorded on a distributed ledger or a similar technology. (actif numérique)

distributed ledger

distributed ledger means a digital database that contains records of transactions among the users of a network and that uses cryptography to maintain the confidentiality, integrity, authenticity and non-repudiation of the data that is recorded in it. (registre distribué)

fiat currency

fiat currency means a currency that is issued by a country and that is designated as legal tender in that country. (monnaie fiduciaire)

financial institution

financial institution means a financial institution, as defined in section 2 of the Bank Act, the corporation described in paragraph 983(4.2)(f) of that Act and any other person provided for in the regulations. (institution financière)

government authority

government authority includes the Royal Canadian Mounted Police, the Communications Security Establishment and the Canadian Security Intelligence Service. (autorité administrative)

Governor

Governor has the same meaning as in section 2 of the Bank of Canada Act. (gouverneur)

incident

incident means an event or series of related events that is unplanned by an issuer and that results in or could reasonably be expected to result in the reduction, deterioration or breakdown of any activity that is performed by the issuer or a third party and that is related to a stablecoin. (incident)

issue

issue, in respect of a stablecoin, means to create the stablecoin and to make it available for purchase, directly or indirectly, by a person in Canada. (émettre)

issuer

issuer means a person that issues a stablecoin. (émetteur)

lawyer

lawyer means

• The following provision is not in force.

  (a) a lawyer who is a member in good standing of a law society of a province or a notary who is a member in good standing of the Chambre des notaires du Québec; and

• The following provision is not in force.

  (b) a lawyer who is a member in good standing of a professional body of lawyers that is constituted under a foreign law. (avocat)

Minister

Minister means the Minister of Finance. (ministre)

outstanding stablecoin

outstanding stablecoin means a stablecoin that an issuer has issued and that has been purchased and neither redeemed nor cancelled. (cryptomonnaie stable en circulation)

person

person means an individual, a corporation, a trust, a joint venture, a partnership, a fund, an unincorporated association or organization and any other legal entity. (personne)

personal information

personal information means information about an identifiable individual. (renseignement personnel)

qualified custodian

qualified custodian means a financial institution, and any other person provided for in the regulations, that meets any requirements provided for in the regulations. (dépositaire autorisé)

reference currency

reference currency means the fiat currency relative to which a stablecoin is intended or designed to maintain a stable value. (monnaie de référence)

stablecoin

stablecoin means a digital asset that is intended or designed to maintain a stable value relative to the value of one fiat currency and that has the characteristics, if any, provided for in the regulations. (cryptomonnaie stable)

third party

third party means a person that, under an arrangement or agreement with an issuer, performs an activity that is related to the issuing or the redemption of a stablecoin issued by the issuer and that is not an employee of the issuer. (tiers)

Marginal note:Securities — Acts of Parliament

3 The issuing of a stablecoin in accordance with this Act does not constitute dealing in securities for the purposes of any of the following provisions:

• The following provision is not in force.

  (a) paragraphs 468(3)(b), 522.08(2)(b) and 930(3)(b) of the Bank Act;

• The following provision is not in force.

  (b) paragraphs 495(3)(b) and (5)(b), 554(3)(c) and 971(3)(b) of the Insurance Companies Act; and

• The following provision is not in force.

  (c) paragraph 453(3)(b) of the Trust and Loan Companies Act.

Marginal note:Not business of accepting deposit liabilities

4 The issuing of a stablecoin in accordance with this Act does not constitute engaging in the business of accepting deposit liabilities for the purposes of any of the following provisions:

• The following provision is not in force.

  (a) subsections 468(3) and 930(3) and paragraph 948(1)(a) of the Bank Act;

• The following provision is not in force.

  (b) subsections 495(3) and (5), 554(3) and 971(3) of the Insurance Companies Act; and

• The following provision is not in force.

  (c) subsection 453(3) of the Trust and Loan Companies Act.

Marginal note:Business of dealing in virtual currencies

5 An issuer is a person that is engaged in the business of dealing in virtual currencies for the purposes of subparagraphs 5(h)(iv) and (h.1)(iv) of the Proceeds of Crime (Money Laundering) and Terrorist Financing Act.

Marginal note:Objects

6 The Bank’s objects under this Act are to

• The following provision is not in force.

  (a) supervise issuers in order to determine whether they are in compliance with this Act;

• The following provision is not in force.

  (b) promote the adoption by issuers of policies and procedures that are designed to implement their duties under this Act; and

• The following provision is not in force.

  (c) monitor and evaluate trends and issues related to stablecoins.

Marginal note:Agreements or arrangements

7 The Bank may, for the purpose of exercising its powers or performing its duties and functions under this Act, enter into an agreement or arrangement with any government authority or regulatory body.

Marginal note:Guidelines — Bank

• The following provision is not in force.

  8 (1) Subject to subsection (2), the Bank may issue guidelines respecting the manner in which this Act is to be applied.

• The following provision is not in force.

  Marginal note:Guidelines — Minister

  (2) The Minister may issue guidelines respecting the manner in which the provisions of this Act that confer powers, duties or functions on the Minister are to be applied.

Marginal note:Delegation of Governor’s powers, duties and functions

9 The Governor may delegate to an officer of the Bank any of the Governor’s powers, duties or functions under this Act.

Marginal note:Interprovincial or international applications

10 This Act applies only in respect of a stablecoin that has or could reasonably be expected to have interprovincial or international applications.

Marginal note:Closed-loop stablecoin

11 Subject to the regulations, this Act does not apply in respect of a closed-loop stablecoin.

Marginal note:Issuers

12 Subject to the regulations, this Act does not apply to an issuer that is a financial institution.

Marginal note:Central bank

13 This Act does not apply to an issuer that is a central bank.

Marginal note:Governor’s order

14 If the Governor is of the opinion that a provincial or foreign law or a provision of a provincial or foreign law applies to or in respect of an applicant or a class of applicants or an issuer or a class of issuers and that the provincial or foreign law or the provision of the provincial or foreign law is substantially similar to this Act or the regulations or a provision of this Act or the regulations, then the Governor may, by order, specify that this Act or the regulations, or any provision of this Act or the regulations, does not apply to or in respect of the applicant, the issuer or the class of applicants or issuers, subject to any conditions that the Governor considers appropriate.

Marginal note:Prohibition — issuing

15 A person must not issue a stablecoin unless the person complies with this Act and their name is included in the list of issuers referred to in paragraph 16(a).

Marginal note:Registry

16 The Bank must maintain a public registry that contains

• The following provision is not in force.

  (a) a list of issuers, including any information provided for in the regulations;

• The following provision is not in force.

  (b) subject to section 76, information respecting each

  • (i) order made under section 14,

  • (ii) directive given under subsection 27(1),

  • (iii) order made under section 60,

  • (iv) order made under section 61,

  • (v) compliance agreement entered into under section 62,

  • (vi) direction made under subsection 63(1) or (3),

  • (vii) direction made under section 66, if the Bank considers it appropriate to include that information in the registry,

  • (viii) order made under subsection 74(1) or (3);

• The following provision is not in force.

  (c) the information that is made public under section 92; and

• The following provision is not in force.

  (d) any other information provided for in the regulations.

Marginal note:Application required

• The following provision is not in force.

  17 (1) A person must submit an application to the Bank in order to have their name added to the list of issuers referred to in paragraph 16(a).

• The following provision is not in force.

  Marginal note:Contents of application

  (2) An application must contain the following information:

  • The following provision is not in force.

    (a) information about the ownership of the applicant;

  • The following provision is not in force.

    (b) a description of how the applicant is organized and structured and, if applicable, information about the applicant’s subsidiaries, affiliates and third parties;

  • The following provision is not in force.

    (c) a description of the technological systems that are used or that will be used by the applicant or any third parties in relation to the stablecoin that the applicant plans to issue, including the distributed ledgers, any smart contracts or computer code with respect to the issuing or redemption of the stablecoin and any other technological infrastructure through which the stablecoin will be issued or redeemed;

  • The following provision is not in force.

    (d) the applicant’s redemption policy;

  • The following provision is not in force.

    (e) a description of the measures that the applicant has taken or plans to take to comply with sections 37 to 39;

  • The following provision is not in force.

    (f) a statement from a lawyer of whether, in the lawyer’s opinion, the measures referred to in paragraph (e) enable the applicant to comply with sections 38 and 39;

  • The following provision is not in force.

    (g) a statement from a certified accountant of the applicant’s financial condition;

  • The following provision is not in force.

    (h) the applicant’s governance policy, risk management policy, data security policy and recovery and resolution policy;

  • The following provision is not in force.

    (i) information about any enforcement actions that have been taken in relation to the applicant under a federal, provincial or foreign law that relates to anti-money laundering or anti-terrorist financing measures, the provision of financial services, securities and derivatives, market conduct or consumer protection;

  • The following provision is not in force.

    (j) any information requested by the Bank; and

  • The following provision is not in force.

    (k) any information provided for in the regulations.

• The following provision is not in force.

  Marginal note:Statement — lawyer

  (3) The statement referred to in paragraph (2)(f) must be prepared by a lawyer who, within the meaning of the regulations, is independent of the applicant and any related party of the applicant and meets any other requirements provided for in the regulations.

• The following provision is not in force.

  Marginal note:Statement — certified accountant

  (4) The statement referred to in paragraph (2)(g) must be prepared by a certified accountant who, within the meaning of the regulations, is independent of the applicant and any related party of the applicant and meets any other requirements provided for in the regulations.

• The following provision is not in force.

  Marginal note:Fee

  (5) An applicant must include with the application a fee that is determined by the Bank.