According to Bank of Canada Deputy Governor Paul Beaudry, cryptocurrencies are not a threat to the dollar and the global financial system.
Beaudry said that cryptocurrencies can develop in parallel with the financial system and the IMF. This statement was made during a meeting at the Securities Commission in Ontario two days ago.
Beaudry is certain that cryptocurrencies have not yet reached such scalability locally that entire economies of countries could be at risk.
In turn, Beaudry said that the Bank of Canada is also carefully studying and monitoring the crypto market. He made it clear that the Bank of Canada does not believe that the crypto market is moving in a direction in which a threat to the entire financial system of Canada can be created.
The cryptocurrency is moving in its own direction, and the Canadian dollar is developing in its own direction, and they are not touching.
However, Beaudry believes that the crypto market could potentially create a vulnerability in the Canadian economy within 10 years if bitcoin and other altcoins receive even more approval and recognition from Canadian institutions.
The Bank of Canada does not consider the crypto market a dangerous threat to its economy. Beaudry is certain that although investors promote cryptocurrencies as a payment method as a faster and more secure way, however, they do not play an important role in payments.
The lion's share of coins that are currently on the crypto market are speculative reagents. Beaudry believes that stablecoins are unlike ordinary altcoins, such as bitcoin, Ethereum, cardano, and they can be a hindrance to payments.
The Bank of Canada is monitoring the stablecoin market. With careful and scrupulous observation by central banks of stablecoins, it is possible to understand what role these coins play and whether they pose a threat.
Canada continues to be a crypto-friendly jurisdiction. Earlier this year, Canada approved the first spot market-based ETF on Bitcoin.
Also, after China banned mining, Canada welcomed miners with open arms. Canada is the fourth country in terms of BTC hashrate performance..