Canada’s central bank urges the establishment of a stablecoin regulatory framework to modernize the payment system and stay competitive globally. The executive director of payments emphasized the importance of safety and stability in stablecoins to be recognized as money. Stablecoins, mainly US-dollar pegged tokens, are gaining traction in the market.

In a surprising move, the Bank of Canada backtracked on its plans to develop a central bank digital currency (CBDC) in favor of focusing on real-time payment systems. A survey revealed mixed feelings among Canadians towards CBDCs, with some expressing skepticism and concerns about privacy and surveillance issues. Critics argue that CBDCs could lead to a surveillance state and threaten open finance values.

Read more at Cointelegraph: Bank of Canada Eyes Stablecoin Regulation