Forex
Canadian Banks Explore Digital Dollar Initiative
Canada's big banks are joining forces to develop Canadian dollar-based digital money. The initiative focuses on tokenized deposits, which are traditional bank deposits recorded on a decentralized database or distributed ledger, such as a blockchain.
The participating banks - Bank of Montreal, CIBC, National Bank, Royal Bank, Scotiabank, and TD Bank - will issue the tokens, treating them similarly to traditional bank deposits. The first phase aims to enable tokenized deposits between Canadian financial institutions.
The project seeks to deliver faster and more efficient payments to customers while preserving safety, stability, and effective regulatory oversight.