Canada's Six Major Banks Collaborate to Explore Tokenized CAD Deposit System

BMO, CIBC, National Bank of Canada, Royal Bank of Canada, Scotiabank, and TD Bank Group are jointly exploring the development of a tokenized CAD deposit system, aiming to enable faster and programmable payment processes between financial institutions. The Office of the Superintendent of Financial Institutions (OSFI) issued a statement saying that tokenized deposits are legally no different from conventional deposits. Tokenized deposits represent funds held within regulated banks and are considered bank liabilities, which distinguishes them from fiat-collateralized stablecoins issued by third parties. (Source: Cointelegraph)