Coinbase, a prominent cryptocurrency exchange, has announced its plans to introduce a Canadian dollar stablecoin on its platform following the attainment of an official license to operate in Canada. In a recent Twitter update on Monday, Coinbase revealed that it had included QCAD (QCAD) in its listing roadmap. QCAD is a stablecoin pegged to the Canadian dollar and was reintroduced by Stablecorp, a Canadian fintech company, last year.

Stablecoins are a type of cryptocurrency designed to maintain a stable value by pegging it to a specific asset or currency. In the case of QCAD, its value is tied to the Canadian dollar, providing users with a digital representation of the Canadian currency.

The addition of QCAD to Coinbase’s listing roadmap signifies the exchange’s intention to expand its range of stablecoin offerings and provide users with increased options for trading and transacting with Canadian dollars within the cryptocurrency ecosystem. This move can potentially enhance accessibility, liquidity, and convenience for Canadian users on the Coinbase platform.

By leveraging a stablecoin like QCAD, users can benefit from the advantages of cryptocurrencies, such as fast and secure transactions, while also mitigating the volatility commonly associated with other digital assets like Bitcoin or Ethereum.

Coinbase’s decision to include QCAD aligns with the growing interest and adoption of stablecoins globally. These digital assets have gained popularity due to their potential as a reliable means of storing value and facilitating transactions in the cryptocurrency space.

As Coinbase moves forward with its plans to offer QCAD, it is important for users and investors to stay informed about the specifics of this stablecoin, including its underlying mechanics, governance structure, and regulatory compliance. Additionally, monitoring official announcements from Coinbase and other reliable sources will provide updates on the availability and functionality of QCAD on the Coinbase platform.

Disclaimer: The information provided here is for informational purposes only and should not be considered financial or investment advice. Cryptocurrency investments carry risks, and individuals should conduct their own research and consult with a financial advisor before making any investment decisions.

Coinbase Announces Canadian Dollar Stablecoin for its Platform

QCAD, similar to other widely-used stablecoins like Tether (USDT) and USD Coin (USDC), ensures its peg to the Canadian dollar by being fully backed by reserves of equal or greater value than the number of tokens in circulation.

Stablecorp, the company behind QCAD, states that the tokens are backed by cash and cash equivalents. To provide transparency and assurance to users, Stablecorp publishes monthly attestation reports that verify the reserve status of QCAD. These reports confirm that the amount of QCAD in circulation is supported by an equivalent or greater value of Canadian dollars held in reserves.

In the most recent attestation report available from February 2024, it was stated that there were 169,303.77 QCAD tokens in circulation. The report also indicated that Stablecorp held CAD $200,903.17 in reserves, exceeding the value of the tokens in circulation. These reports help to uphold trust and demonstrate the stability of QCAD by ensuring that the necessary reserves are available to back the token supply.

The practice of regular attestation reports serves as a mechanism for stablecoin issuers to provide transparency and maintain the credibility of their stablecoins. It allows users and investors to verify that the stablecoin is indeed backed by the claimed reserve assets.

It is essential for users and investors to review these reports and understand the backing and reserve mechanisms of stablecoins before engaging with them. By doing so, they can make informed decisions and assess the stability and reliability of the stablecoin they are considering using or investing in.

As the cryptocurrency market evolves, it is crucial to stay updated on the latest developments, regulatory requirements, and best practices related to stablecoins and other digital assets. Consulting reliable sources and conducting thorough research will assist in making well-informed decisions within the cryptocurrency ecosystem.


Indeed, when compared to stablecoin giants like Tether (USDT) and USD Coin (USDC), the amount of QCAD in circulation and its reserves appear relatively small. USDT and USDC have a combined market capitalization of over $140 billion USD, making them dominant players in the stablecoin market.

However, it’s important to note that the size of the reserves and the amount of tokens in circulation are not the sole determinants of a stablecoin’s value or utility. Each stablecoin operates within its own ecosystem and serves specific purposes.

Coinbase, as the largest cryptocurrency exchange in the United States and a publicly traded company, plays a significant role in the crypto industry. By onboarding QCAD and offering it on its platform, Coinbase could potentially contribute to the adoption and usage of the Canadian dollar stablecoin.

Stablecorp CEO Alex McDougall expressed the timeliness of introducing a transparent and efficient stablecoin like QCAD to the Canadian market, considering the increased regulatory clarity provided by the Canadian Securities Administrators (CSA). This regulatory clarity helps create a favorable environment for the development and adoption of stablecoins in Canada.

Coinbase’s commitment to listing assets that meet their standards for legal compliance and technical security, regardless of market cap or popularity, demonstrates their dedication to providing a wide range of options to their users while prioritizing safety and regulatory compliance.

The addition of QCAD on Coinbase’s platform presents an opportunity for users and investors to access a Canadian dollar stablecoin within a trusted and regulated environment. This can potentially enhance the utility and convenience of transacting with Canadian dollars in the cryptocurrency space.

As the cryptocurrency market continues to evolve, regulatory frameworks and market demands will shape the adoption and growth of stablecoins and other digital assets. Staying informed about regulatory developments, industry trends, and the offerings of reputable exchanges like Coinbase will assist users and investors in making informed decisions within the cryptocurrency ecosystem.

Coinbase Ensures Compliance with Canadian Regulators for Canadian Dollar Stablecoin

The collapse of FTX and Terra in 2022 led to the Canadian Securities Administrators (CSA) issuing guidance to crypto trading platforms, establishing stringent requirements for listing stablecoins or other pegged assets. The guidance mandated that stablecoins should have reserves consisting of highly liquid assets held by qualified custodians. Algorithmic stablecoins were completely ruled out.

The strict regulatory guidance had repercussions in the industry. Kraken and Coinbase delisted Tether (USDT) and Wrapped Bitcoin (WBTC) from their platforms, and Binance decided to withdraw from the Canadian market entirely.

However, Coinbase achieved a significant milestone by becoming the first international cryptocurrency exchange to gain registration as a “restricted dealer” in Canada. This registration indicates that Coinbase has met the compliance requirements set by regulators.

Coinbase has acknowledged the cooperative approach of Canadian regulators toward the cryptocurrency industry, contrasting it with the regulatory environment in the United States. Notably, Coinbase, Kraken, and Binance are currently facing a lawsuit from the U.S. Securities and Exchange Commission (SEC) for alleged violations of securities laws.

Coinbase has emphasized its collaboration with Canadian banks, investment advisors, and pension funds, highlighting its commitment to facilitating their successful engagement with the evolving digital asset landscape.

The cooperative stance of Canadian regulators and Coinbase’s registration as a restricted dealer in Canada demonstrate the importance of regulatory compliance and cooperation for cryptocurrency exchanges to operate in different jurisdictions. Collaboration between the industry and regulators can foster a conducive environment for the growth and development of the cryptocurrency ecosystem.

It is important for individuals and businesses operating in the cryptocurrency space to remain aware of regulatory requirements, compliance standards, and legal developments in the jurisdictions where they operate. Adhering to these regulations and engaging in open dialogue with regulators can contribute to the long-term success and sustainability of the industry.

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