Yield Payments Barred, Redemption Fees Capped at 1% in Canada’s Stablecoin Proposal

Proposed framework would also require issuers to hold reserves inside Canadian banks Canadian regulators have published draft rules governing stablecoins that take a notably conservative stance compared to other major markets. The framework would ban issuers from paying yield to token holders, according to reporting from Cryptopolitan and Decrypt. It would also cap redemption fees at 1%, limiting how much issuers can charge users who want to convert tokens back into cash. A central feature of the draft rules is the requirement that reserve assets backing stablecoins be routed through Canadian banks.

Source: TheCoinrise