Canada’s Stablecoin Draft Allows Usage Rewards, Bars Issuers Paying Yield via Third Parties

Canada’s Department of Finance has published draft Stablecoin Regulations that spell out where a permitted reward ends and a banned yield begins: payments linked to using a stablecoin would be allowed, while arrangements that pay people for holding one, including through third parties, would not. The proposal appeared in the Canada Gazette on Oct. 24 , starting a 60-day comment period that runs to Dec. 23. The regulations are needed to bring the Stablecoin Act into force. That law received royal assent in March 2026 and already contains a ban on issuers paying interest or yield on held coins.