Canada proposes a national strategy to promote blockchain adoption and digital assets

 

Canada proposes a national strategy to

promote blockchain adoption and digital assets

Canadian lawmakers want the government to promote the adoption of blockchain technology and protect the rights of digital asset owners.

In a recent report :

• The House of Commons Standing Committee on Industry

• and Technology made 16 recommendations geared

• towards promoting the growth of the emerging industry.

The Blockchain Technology:

Cryptocurrencies and Beyond report urges the Government to recognize blockchain as an emerging industry with "long-term economic opportunities and significant job creation."

With regard to digital assets

the report wants the Government to protect individuals' right to

self-custody :

You must also promote and advocate for easy access to safe and reliable areas.

Canada must also explore a distinct regulatory approach to stablecoins.

In most jurisdictions

Stablecoins are grouped with other digital assets

creating loopholes exploited by fraudsters.

However :

in recent years :

regulators have recognized stablecoins as

a premium asset requiring their own policies.

Europe's MiCA is the most detailed framework that

establishes comprehensive stablecoin regulations

Canadian regulators call for a similar approach.

Canada has been tough on digital assets

with many companies out of the country for non-compliance.

These include Binance and Bybit

who announced their exit in May; Paxos و dYdX

1. who left the country in April
2. The OKX
3. which was closed in March.

They all pointed out that unfavourable regulations were the reason for their exit.

Lawmakers want Prime Minister Justin Trudeau's government to emulate countries

• such as India

• Malaysia

• Pakistan

• Bangladesh and Nigeria

• and to develop a national blockchain strategy.

This strategy should clarify "the direction of

government policy and regulatory approach

and demonstrate support for industry.

• Armed with the strategy

• Canada must engage with other countries in

• the organization and policy of the blockchain.

Pilot projects on distributed ledger technology

should also be conducted in partnership with ecosystem startups.

Lawmakers added that regulatory protection could also allow innovators to explore innovative blockchain applications without fear of punitive regulatory action.