Karsten Wenzlaff, Advisor
August 26th, 2025
Karsten Wenzlaff is a Crowdfunding and Fintech Expert from Germany. He is Secretary-General of Digit[...]
Category Archives: Venture Funding and Building
EQ Bank Buys PC Financial In A Strategic Growth Move
Fintech M&A | December 5, 2025
AI generated image
EQB Acquires PC Financial to Build Large Loyalty Banking Platform and Strengthen Competition
On December 3 2025 EQB Inc (EQ Bank) announced that it will buy PC Financial from Loblaw in an estimated $800 million transaction, bringing more than 2 million active PC Mastercard accounts, $5.8 billion in assets and over $800 million in deposits into EQB. Loblaw will extract about $500 million in excess capital before closing and will receive 7.2 million EQB shares for at least 17% ownership. EQB expects the combined platform to serve more than 3 million customers and connect with over 17 million PC Optimum members as part of a long term loyalty partnership.
One Of The Largest Loyalty Banking Ecosystems In Canada
The acquisition creates one of the largest loyalty linked banking platforms in the country by bringing everyday banking and daily retail activity into a single ecosystem. EQB becomes the exclusive financial partner for PC Optimum under a long term commercial agreement, which expands how Canadians earn rewards on their banking and strengthens the reach of a program that already plays a major role in weekly spending. This gives Canadians more ways to earn points on savings, spending and credit products and positions EQB as a strong alternative in a concentrated market.
Why EQB Is Making This Move
EQB wants a complete product shelf that connects saving, spending and rewards. PC Financial gives EQB a large national credit card portfolio that closes a long standing product gap and supports a full everyday banking experience.
EQB also gains powerful distribution through about 2,500 Loblaw banner stores, 180 in store banking pavilions and more than 600 automated teller machines. This reach drives deposit growth, improves customer access and helps EQB compete directly with the largest banks.
See: Canada Open Banking Commercialization Roadmap
The loyalty partnership adds another engine for growth by tying grocery and pharmacy spending to financial rewards in a way that increases engagement and retention. The strategy fits the federal goal of building more competition in Canadian banking and gives consumers more choice through a challenger platform with real scale.
PC Financial customers will keep their rewards and gain access to EQ Bank’s digital savings and registered products over time. EQ Bank customers will benefit from PC Financial credit cards and new in person access through national retail channels. Both brands will stay in place during the early integration period. Canadians will gain more value from everyday banking and a wider set of touchpoints to manage their accounts inside stores they already visit each week.
Chadwick Westlake, President and CEO, EQB:
"Today's announcement marks a new era for banking in Canada. By combining EQ Bank's exceptional digital platform and product shelf with PC Financial's spending solutions, distribution and expertise in loyalty, we're creating a better banking ecosystem for all Canadians that prioritizes innovation and value. Fueled by our combined digital strengths and new ways to connect with customers, this transaction offers a unique opportunity for Canada's Challenger Bank to redefine what Canadians should expect from their banks. We couldn't be more excited to bring challenger banking to more Canadians and look forward to welcoming Loblaw as a shareholder and valued long-term partner."
Financial Drivers
EQB is buying PC Financial at 1.15 times book value, excluding capital above a 13% capital ratio.
The bank expects about $30 million in annual cost synergies before tax and about $105 million in one time integration costs.
See: Loop & EQ Bank Launch Multi-Currency Card for Canadian SMEs
EQB plans to fund the cash portion from its existing balance sheet. The bank expects mid single digit growth in adjusted earnings per share during the first full year after closing and a stronger return on equity.
Loblaw becomes a significant minority shareholder and receives board nomination rights, pre emptive rights and a 4 year lock up, along with a standstill that limits ownership to 25%.
The deal includes a $40 million termination fee tied to specific events.
Next Steps In The EQB PC Financial Integration
EQB expects the acquisition to close in 2026 once it receives approval from the Minister of Finance and clearance under the Competition Act. After closing, EQB and Loblaw will activate a long term partnership under the program participation agreement, which sets a 12 year term and a joint governance structure for loyalty strategy.
See: Fintech Charters and Challenger Banks Driving Competition
EQB will begin a phased transition that moves PC Financial into the EQ Bank digital platform over time while keeping both brands visible during early integration.
Why This Matters
This deal moves EQB into a different competitive tier. The bank gains scale, distribution and loyalty reach in one step and strengthens its position as a challenger with national visibility. Canadians gain more value from everyday banking and more ways to earn rewards through a program they already use. Policymakers gain a concrete example of how consumer driven banking, competition and innovation can work together to deliver better outcomes for Canadians.
The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, artificial intelligence, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org
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OPC Launches Review of PIPEDA Guidance Development
Privacy | Dec 4, 2025
OPC Guidance Modernization Reaches A Turning Point
On December 2 2025, the Office of the Privacy Commissioner of Canada (OPC) launched a guidance modernization consultation to gather feedback on how it should create future guidance for organizations under PIPEDA. The announcement links to the Draft Policy on PIPEDA Guidance Consultations, which sets out the proposed structure for selecting topics, engaging stakeholders and updating guidance.
See: Grok Leak Triggers Global AI Privacy Alarm
This consultation is important to fintechs and financial institutions alike because OPC guidance influences how teams design onboarding, identity flows, cross-border data use, fraud controls and AI supported systems.
Timeline and Path Leading to This Consultation
The OPC has worked on several major guidance projects over the past decade. Some produced clear final documents. Others exposed pressure points where guidance needed stronger processes, clearer wording or more predictable updates. The timeline below isn't exhaustive but shows past steps that now impact the need for modernization.
| Year | Event | Notes |
|---|---|---|
| 2016 | OPC consultation on consent under PIPEDA | OPC reviews whether the consent model still works as data practices become more complex, including issues such as unclear notices and bundled consent. |
| 2018 | Guidelines for obtaining meaningful consent | OPC publishes final consent guidelines with clear expectations for transparency, user understanding and risk disclosure. These guidelines impact how organizations explain data practices. |
| 2019 | Consultation on transfers for processing and OPC announcement concluding the consultation | OPC tests possible changes to cross border processing guidance. After significant feedback, OPC confirms it will maintain the existing model for consent and accountability. |
| 2023 | Request for input on draft biometrics guidance and biometrics consultation notice | OPC seeks views on how organizations should handle biometric information, including expectations for assessments, safeguards and governance. |
| 2023–24 | OPC Departmental Plan reference to a guidance modernization project | OPC confirms it is building a structured and scalable approach to guidance development. |
| 2025 May | Exploratory consultation on a children’s privacy code | OPC explores principles for a possible children’s privacy code and gathers feedback from a wide range of stakeholders. |
| 2025 Aug | Final biometrics guidance for organizations | OPC publishes final biometrics guidance with expectations for sensitivity, safeguards, retention and governance. |
| 2025 Dec | Consultation on guidance modernization and Draft Policy on PIPEDA Guidance Consultations | OPC launches a public consultation on how it will plan and run future guidance consultations. |
What The Consultation Covers
The OPC launched this consultation to create a predictable structure for guidance development that follows clear steps from topic selection to final publication. The Draft Policy on PIPEDA Guidance Consultations sets out the proposed framework, which covers how the OPC will choose topics, engage stakeholders, review submissions and update guidance over time. The policy confirms that the OPC will provide discussion papers or draft text during consultations, outline the scope of each consultation and publish summaries that explain how input influenced the final document.
The draft policy describes the types of guidance it aims to improve, including interpretation documents, practical expectations for organizations and updates to guidance when law or technology changes. It also explains that the OPC may prioritize topics based on new risks, trends in complaints or changes in legislation, such areas as consent, cross border data use, artificial intelligence and children’s privacy that may require future guidance work. Biometrics already has final guidance but the OPC may revisit that topic if new risks or technologies emerge.
The OPC invites comments by email at cpvp-opcconsultation1@priv.gc.ca until deadline March 13, 2026. Submissions can respond to the draft policy or request updates to current guidance. The OPC welcomes input from any organization that operates under PIPEDA and wants a more consistent and transparent consultation process.
What This Means For Fintech
Fintech firms work with sensitive data across complex vendor chains. They rely on predictable regulatory expectations to design products and manage risk. This consultation matters because it affects several core fintech operations, for example:
Onboarding and identity verification. Clear guidance influences how fintech teams design consent flows, collect identity documents, use biometrics for fraud controls and explain risks to users.
See: Ensuring Data Privacy in AI-Driven ID Scanning: Balancing Innovation and Compliance
Cross border data transfers. Fintechs depend on cloud services, payment networks and global providers. The 2019 transfers consultation showed how uncertainty about these transfers can raise operational and legal risk. A structured guidance process helps firms plan ahead.
AI and risk models. As firms use AI for underwriting, fraud detection or identity screening, they need dependable guidance on transparency, fairness and data use.
Open banking and partnerships. Banks, aggregators and fintech platforms need consistent interpretations of consent, accountability and data sharing. Modernized guidance helps reduce friction in new partnerships and supports investment decisions.
Competitiveness and trust. Canada has pursued privacy reform for several years. While reforms remain unfinished, guidance modernization is one of the main tools available to increase clarity and reduce uncertainty. Clear rules improve investor confidence and support firms that want to expand or build new financial services.
Outlook
This guidance modernization consultation gives fintechs and financial firms an opportunity to help improve how privacy guidance develops in Canada. The OPC wants a process that delivers timely updates, clearer expectations and stronger transparency.
See: Stronger Bank–NBFI Links Show Why Data Matters Most
By submitting practical examples and highlighting where current guidance creates uncertainty, fintech firms can support a framework that strengthens trust and reduces friction across the market. Clearer guidance also supports growth, investment and innovation at a time when Canada needs stronger competitiveness in financial services and technology.
The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, artificial intelligence, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org
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Tokenwell Partners with Talos for New Crypto Basket
Crypto | December 4, 2025
Tokenwell Expands Talos Partnership To Develop A New Institutional Crypto Basket
On December 4 2025, Tokenwell Platforms Inc announced an expanded partnership with Talos to develop a proprietary crypto basket using the Coin Metrics Multi Asset Series Methodology, which uses clear data rules to help the basket protect value and adjust to different market conditions. It uses trends, price ranges and strength signals to guide monthly updates and remove guesswork from how the basket changes over time. The strategy is in development and the company expects to complete backtesting in January 2026 before releasing the basket on its platform in the first quarter of 2026.
Background On Tokenwell
Tokenwell Platforms Inc (TWEL) trades on the Canadian Securities Exchange and focuses on diversified crypto baskets built from institutional data while keeping all assets in user exchange accounts in a non-custodial structure, as outlined on its investor overview page.
See: Rails’ Hybrid Crypto Exchange and $14M Raise
In August 2025, Trilogy AI Corp acquired WealthAgile Inc, which appears in the fundamental change listing statement. That filing describes WealthAgile as a financial technology business focused on structured cryptocurrency investing. After completing the acquisition, Trilogy changed its name to Tokenwell Platforms Inc and advanced a platform built around data-driven portfolio tools for retail investors.
Uses Talos Data To Engineer A Technical Basket
Tokenwell uses the Talos Coin Metrics platform to design a new crypto basket that uses a rules-based model that updates monthly and follows clear technical criteria supported by institutional data.
The company laid the foundation for this approach in July 2025 when it licensed Coin Metrics data to build benchmarking tools and index models which led to the CMBI 10 Even basket (CMBI10e). Users can already access the CMBI10E and CoinDesk 20 baskets inside the Tokenwell app.
Then Talos acquired Coin Metrics and Tokenwell gained a unified data environment that now supports the development of its proprietary strategy.
Expands Retail Platform and Leadership Team
In September 2025, Tokenwell announced the launch of its retail crypto investing app in the United States that connects users to structured crypto baskets without taking custody of assets. Users invest through existing Coinbase or Crypto.com accounts while the Tokenwell app provides the portfolio layer.
In October 2025, Tokenwell announced its first major exchange partnership with Crypto.com who integrated its platform so investors could access and trade Tokenwell's crypto baskets.
Read: Why Policy Scenarios Now Matter for Fintech Strategy
The leadership team also expanded earlier in the year, adding Abraham Theodore NDAX's former Head of Product (COO), Darryl Irwin (accounting/tax expertise), and Matthew Lee Morgan as strategic advisor to help scale.
Outlook
2025's been a big year for Tokenwell, including structured platform development, fundamental change transaction, a corporate rebrand, leadership expansion, a United States app launch, exchange infrastructure integration and multiple index baskets designed with Coin Metrics and CoinDesk Indices. The Talos partnership now anchors the next growth phase of Tokenwell’s product strategy with a proprietary institutional model designed for retail access.
The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, artificial intelligence, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org
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Revolut’s $75 Billion Valuation and New Canada Plans
Fintech | Dec 4, 2025
Image: Freepik/senivpetro
Revolut Enjoys Strong Global Growth and Begins New Path For a More Complete Return to Canada
On November 24 2025, Revolut announced a company valuation of $75 billion following a major secondary share sale. Revenue grew by 72% in 2024 and profit before tax increased by 149%. Retail customers reached more than 65 million in global markets. The business banking line passed $1 billion in annualized revenue. The update also stated that Revolut expanded into new regions, including receiving banking approvals in Mexico and Colombia, as part of its plan to serve customers in one hundred countries. The results mirror strong financial growth and increasing international scale.
See: Revolut and N26 Launching Mobile Plans Inside Banking Apps
Nik Storonsky, CEO and Co-founder Revolut:
“This milestone reflects the remarkable progress we have made in the last twelve months towards our vision of building the first truly global bank, serving 100 million customers across 100 countries. I’d like to thank our team for their determination and energy, and for believing that it is possible to build a global financial and technology leader from Europe.”
Revolut’s Initial Experience In Canada
Revolut entered Canada in 2019 with a limited beta product that focused on prepaid cards and international exchange tools. The company didn't have a Canadian banking license, and as a result it wasn't able to launch the wider product set that customers in other countries were using that would make its product competitive in Canada at that time. After evaluating the Canadian market for about eighteen months, Revolut informed users in March 2021 that it would exit Canada, stinging users who had hoped for a modern digital banking alternative.
Revolut’s first shot at operating a financial services business in Canada highlights how difficult it can be for an international fintech to enter a concentrated and highly regulated banking environment. The company’s decision to pull back was grounded in the idea that customers deserved a complete digital banking experience, not a single product here or there. A return to Canada would only make sense if Revolut could deliver a full service model that matches Canadian expectations and regulatory standards.
Renewed Canadian Focus With a New Canadian CEO
On December 3 2025, as reported by Betakit, Revout appointed Jan Pilbauer as Chief Executive Officer of its Canadian Business. Pilbauer’s public LinkedIn profile confirms the new role. His background includes senior positions at Payments Canada and the Bank of Canada, along with his most recent leadership role at Al Etihad Payments. Revolut told BetaKit that it sees Canada as an attractive market that could benefit from a strong digital financial alternative. The spokesperson also noted that the company is still early in its evaluation, but the new leadership appointment signals that the next Canadian launch will not resemble the short beta of 2019. This time, the focus appears to be on readiness, regulatory alignment, and building a complete product for Canadian users.
See: OSFI Approves Santander for Canadian Banking License
A successful Canadian re-entry would add a new competitor to a financial sector that has seen limited change over many years but is beginning to heat up post 2025 budget with Open Banking progressing and launch of the first draft of Canada's Stablecoin Act. Globally, Revolut’s product set has grown well beyond prepaid tools and now includes international payments, business accounts, savings features, and multi country financial access. If these services reach Canada in a complete form, consumers and businesses may see more choice and potentially better pricing and digital tools.
For policymakers and industry leaders, Revolut's renewed interest confirms the importance of clarity in licensing and approval processes. A strong Canadian environment for financial innovation depends on the ability of both domestic and international players to bring forward safe, compliant, modern financial services.
Outlook
Revolut has not published a launch date for Canada. What is clear is that the company now has the scale, financial strength, and leadership required to engage Canada more seriously than before. The next chapter will depend on regulatory progress, partnerships, and how well Revolut adapts its global model to a Canadian financial services market that's dominated by a handful of incumbent banks. If those pieces come together, Canada could see one of the world’s largest digital financial companies enter the market with a far more complete offering than the one introduced in 2019.
The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, artificial intelligence, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org
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Tokenized Infrastructure Is Changing How Markets Operate
Tokenization | December 3, 2025
Image: Freepik AI
Tokenization Building Modern Market Infrastructure Worldwide
Tokenized infrastructure now appears across everyday financial activity. Shared digital ledgers record ownership directly, and real assets move into programmable formats that speed up settlement, improve transparency and open access to private markets. Growth comes from regulated markets, global banks and high-growth regions that use tokenized systems to remove friction in payments, trading and recordkeeping.
Larry Fink and Rob Goldstein, CEO and COO of BlackRock (world’s largest asset manager) in a December 1, 2025 Economist article describe tokenization as a major upgrade to financial infrastructure:
“Ledgers haven’t been this exciting since the invention of double-entry bookkeeping.”
The New Market Rails Take Shape
Some of the largest and most established financial institutions already operate tokenized products in regulated environments. BlackRock issues a tokenized money market fund through BUIDL, which operates on chain and holds short-term U.S. dollar assets under a regulated structure see its 2024 launch announcement. JPMorgan runs ledger-based settlement and tokenized collateral through its Kinexys platform, formerly Onyx. UBS offers tokenized money market funds and structured products under Switzerland’s DLT Act. Franklin Templeton records shareholder ownership on chain and processes fund transactions through a blockchain-integrated fund model.
Swift reinforces this transition with real evidence. In 2023 it demonstrated that its messages can trigger tokenized transfers across public and private blockchains, confirming that banks can keep their existing workflows while settlement moves on chain. Chainlink extended these findings in Sept 2025, outlining a model where tokenized transfers move across ledgers under the same compliance controls institutions already trust.
The United Kingdom now moves beyond sandbox testing and supports full scale tokenization in asset management. In October 2025 the Financial Conduct Authority published a policy update, explaining how tokenisation can cut fund costs and widen access. The FCA also launched a consultation, setting out a roadmap for tokenised fund registers and direct to fund dealing. The FCA frames tokenization as a way to modernize asset management by placing fund units and ownership records on distributed ledgers while keeping regulatory safeguards intact.
See: NCFA Canada and TheBlock Partner to Build a Global Bridge for Tokenization
Perhaps, the strongest progress now emerges outside the West (think adoption, usage, and real economic integration). The 2025 Chainalysis Global Adoption Index demonstrates this change clearly. Its findings, highlighting leading adoption across Asia and Africa, show that Vietnam, the Philippines, India, Nigeria and Brazil all rank near the top because tokenized value moves faster and more affordably than legacy payment and settlement networks.
Regional hubs are also accelerating. A comparative review identifies Singapore and the UAE as top jurisdictions for tokenized real assets, noting that these markets scale quickly because regulators provide clear rules for tokenized cash, tokenized securities and digital registers. Where legacy constraints are lighter, adoption appears faster because the benefits materialize immediately in cross border flows, settlement and access to private assets.
In many Western financial centers, integration efforts are underway where regulations permit tokenized assets or tokenized cash to operate alongside legacy market plumbing. Liquidity follows the rails that deliver speed, safety and operational clarity.
Three Types Of Tokenization
Tokenization includes multiple assets and falls into three clear categories:
1. Tokenized cash puts digital forms of money on chain. This includes fully backed stablecoins, tokenized deposits and other types of tokenized bank money. Tokenized cash works as a settlement asset on digital ledgers. It supports instant transfers, moves easily across platforms and connects with tokenized securities and tokenized real world assets.
2. Tokenized securities are financial instruments such as bonds, funds, money market assets and equity interests that are issued or recorded on chain. They follow securities law and must meet rules for custody, disclosure and investor protection. Germany, Switzerland, the United Kingdom and the European Union all have frameworks that give these instruments a legally recognized place on digital registers.
3. Tokenized real world assets take off-chain assets and represent their ownership on chain. Examples include private credit, real estate, infrastructure assets, receivables, trade claims, commodities and revenue rights. The asset itself stays off chain, while the legal claim moves on chain, making ownership easier to transfer and manage.
Read: Fintechs Are Digitizing $33T in Alternative Assets
Tokenized cash strengthens settlement. Tokenized securities support modern regulated markets. Tokenized real world assets open access to large pools of private value. Together they form one connected system that links established institutions with modern digital first platforms.
Real Assets Move Into Programmable Form
Tokenized markets are expanding because real assets are now moving into these structures. In 2025 the strongest growth appears in United States Treasuries. A detailed review shows that tokenized Treasuries reached about $7.3B in 2025, an increase of more than 250% from 2024. These instruments deliver safe yield in a programmable, globally portable form that fits into digital collateral systems.
Coindesk reported on BlackRock’s USD Institutional Digital Liquidity Fund (BUIDL), driving much of this expansion. Messari later confirmed that BUIDL reached about $1.92B by April 2025, and Yahoo Finance reported that BUIDL passed $2.9B by mid 2025. By late 2025, the Economic Times noted that Binance accepted BUIDL as off exchange collateral.
These cases show tokenized assets working inside regulated markets. They move as collateral, pay interest automatically and settle quickly, and are demonstrating how programmable ownership can support large scale products.
A study by BCG and ADDX estimates that tokenized assets could reach $16T by 2030, while a McKinsey review projects a range of $1T to $4T by the same date. Even the low case would impact global capital formation.
NCFA has tracked similar patterns in its work on digital money, real-time tokenized payments, and competition where tokenized rails extend these forces into the full stack of asset classes.
Regulated Markets Build The Foundation
Tokenization only scales when regulators give it a clear place in existing financial law. Some jurisdictions now recognize digital ledger records as valid securities registers and allow tokenized bonds, funds or equity to operate inside their capital market systems. Others focus on tokenized cash and stable, regulated settlement assets that let digital transactions clear instantly. A few support both sides, combining securities rules with prudential oversight for tokenized money.
See: SEC Exploring Ethereum Standard for Tokenized Securities
The table below reflects these differences. It separates regimes that permit tokenized securities from regimes that regulate tokenized cash, and highlights markets that support both layers. Together these components form the legal base for tokenized assets across cash, securities and real-world assets (RWA).
| Jurisdiction | Framework | What It Allows | Role In Tokenization |
|---|---|---|---|
| European Union | DLT Pilot Regime for tokenized securities MiCA rules governing tokenized cash |
Permission to issue, trade and settle financial instruments on DLT. MiCA governs crypto assets and fully backed stablecoins as tokenized cash. | Combines legal clarity for tokenized securities with rules for tokenized cash so markets can test full stack tokenization. |
| Germany | eWpG electronic securities law for DLT-based securities BaFin regulation for crypto-securities registers and trading infrastructure |
Civil law recognition for securities issued and recorded on electronic or DLT registers; legal foundation for tokenized bonds, fund units and digital securities; regulated register-keeping and custody. | Provides a comprehensive legal and regulatory framework for digital securities in Germany’s capital markets, enabling institutional issuance, trading and custody under DLT infrastructure. |
| Switzerland | Swiss DLT Act enabling ledger-based securities FINMA regulation for DLT trading venues and digital-asset infrastructure |
Legal framework for issuance, transfer and trading of DLT Securities (shares, bonds, structured products); authorized DLT trading venues under financial-market legislation; statutory recognition of ledger-based securities as book entry instruments. | Provides robust, tech neutral statutory clarity for institutional tokenized securities, regulated trading venues and digital asset infrastructure, making Switzerland a leading global hub for blockchain-based capital markets. |
| United Kingdom | Digital Securities Sandbox for tokenized securities FCA 2025 tokenisation policy for funds and asset management FCA CP25/28 roadmap for tokenised fund registers and direct to fund dealing |
Regulated issuance, trading and settlement of tokenized securities, plus a parallel program for tokenized funds, tokenized registers and modern fund dealing models. | Builds tokenization across securities markets and asset management, making the UK one of the first jurisdictions to support fund tokenization at scale. |
| UAE / Abu Dhabi (ADGM) | ADGM DLT Foundations framework ADGM Digital Assets regulation for tokenized securities & virtual assets FSRA amendments 2025 updating digital asset rules 2025 proposal for fiat-referenced token framework |
Legal basis for DLT entities, exchange of digital securities, token issuance, custody and trading under Digital Asset regulation; updated rules for virtual asset firms and a proposed framework for fiat referenced tokens. | Offers one of MENA’s most comprehensive tokenization regimes: supports security-token issuance and custody today, and paves the way for regulated stablecoins or fiat-referenced tokens, enabling full-stack tokenized markets. |
| Hong Kong SAR | Stablecoin Issuance Ordinance for tokenized cash SFC 2023 circulars for tokenised securities and authorised investment products HKMA-Government first tokenised green bond issuance (2023) |
Regulated fiat-backed stablecoins, tokenized securities offerings under SFC rules, tokenized funds and government issued tokenized bonds under HKMA structures. | Combines tokenized cash, tokenized securities and real-world-asset tokenization under a live legal and regulatory regime, including sovereign bond issuance on chain and SFC supervized fund / securities token structures. |
| Singapore | MAS stablecoin framework governing tokenized cash MAS Project Guardian initiative expanding asset tokenization |
Regulation for fully-backed, single currency stablecoins licensed under MAS; plus a regulated pathway for tokenized funds, bonds and other securities under Project Guardian. | Establishes tokenized cash rails and builds institutional frameworks for tokenized securities and real world assets, positioning Singapore as a key hub for digital capital markets in Asia. |
| United States | NYDFS 2022 guidance for U.S. dollar–backed stablecoins SEC 2025 public statement on tokenized securities regulation |
State-supervised stablecoin issuance (fully backed, redeemable USD stablecoins under NYDFS); tokenized securities treated under traditional federal securities law when issued. | Provides a defined path for tokenized cash via regulated stablecoins and maintains that tokenized securities remain subject to full securities compliance, offering partial rails but without a unified national tokenization regime. |
Canada’s Path to Tokenized Markets
Canada has made early strides toward regulating digital assets but the essential foundations for tokenized markets are still incomplete. The first draft of Canada's Stablecoin Act arrived in November 2025 via PM Carney's Budget 2025 along with Open Banking and payment modernization advancements. The Stablecoin proposal sets reserve, custody and redemption requirements for issuers and would place activity under federal oversight. It is only a draft, but it is the clearest signal that regulated tokenized cash will eventually have a place in the financial system.
Canada is also upgrading its payments infrastructure. NCFA's recent coverage of Canada’s payments innovation work, details progress on the Real-Time Rail, modernized oversight and stronger support for digital payments. The Real-Time Rail is not yet live and is expected after 2026. Until it launches, Canadian markets continue to operate on batch-based systems that limit the speed and precision needed for modern settlement, including tokenized transactions.
See: Market Forces Pressuring Fintech Plans For 2026
Canada still needs to complete several steps before tokenized markets can operate across the financial system. These include finalizing the stablecoin legislation, recognizing digital ledger registers as legally authoritative records for securities and delivering real-time settlement that works across institutions. A secure digital identity standard that functions across ledgers would also help investors and regulated firms meet KYC and AML requirements without slowing transactions.
Canada has the institutions and regulatory credibility to play a meaningful role in tokenized finance. To get there, the country must successfully and expeditiously execute its early policy work into a complete and operational model that supports lawful issuance, settlement and use of digital assets.
Why This Moment Matters And Where It Leads
Tokenization is here. Real products, regulated structures and live institutional use show how digital ledgers can cut out delays, reduce operating drag and open access to assets that rarely moved with this level of precision. When tokenized cash, tokenized securities and tokenized real-world assets run on the same digital foundation, the market gains faster settlement, clearer ownership and a simpler path for new products to reach investors. Numerous of countries are setting benchmarks with legal clarity, real time payments, and digital ledger recognition. Canada has the institutional strength to be in that group but only if it finishes the work already underway. Those that act early will define how capital moves, how assets are built and who leads the next era of financial markets.
The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, artificial intelligence, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org
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CSA Review of EMD Selling Groups Exemption
Capital Raising | Dec 2, 2025
Regulators Launch Consultation to Assess Temporary EMD Selling Groups Exemption
On November 27 2025, Canadian securities regulators released CSA Multilateral Staff Notice 31-367, confirming that the temporary rule under Coordinated Blanket Order 31-930 will end on December 20, 2025 (see release). The consultation remains open until January 26, 2026, which creates a timing gap that matters for exempt market dealers, founders and investors who want clarity on whether a revised model may support stronger capital raising across Canada.
The EMD Selling Groups exemption started in June 2024. It enabled exempt market dealers to join selling groups in prospectus offerings. The policy goal looked straightforward. Most Canadian companies start in the exempt market. Many later raise growth capital under a prospectus. Allowing exempt market dealers to stay involved as companies advance could strengthen continuity, expand distribution and support investor access.
See: How Fintechs Are Unlocking Value in Private Markets 2024
The results did not match that intent:
According to the Staff Notice, only 3 exempt market dealers filed the required notice to participate, and only 2 of those exempt market dealers actually joined selling groups. Each took part in two prospectus offerings. That means the entire pilot produced four transactions nationally. The low participation explains why regulators want to close the temporary rule and collect feedback on the structural issues that affected the outcome.
What EMDs, Founders and Investors Said Through the Pilot
Regulators identified four barriers that influenced participation, according to the Staff Notice.
1. Exempt market dealers cannot access electronic settlement through the Canadian Depository for Securities. Issuers that chose to work with exempt market dealers needed to use paper certificates. This added time and cost to prospectus stage financing.
2. Exempt market dealers cannot advise clients on securities purchased under a prospectus. This restriction makes it difficult for them to support clients after closing.
See: Budget 2025 Accelerates Fintech, AI, and Capital Growth
3. Compensation limits created a barrier. Exempt market dealers faced a scale back on economics when compared with other activities available to them.
4. Issuers and investment dealers were not fully aware that exempt market dealers could participate. Some exempt market dealers reported that investment dealers did not understand the conditions required to include them in selling groups.
Although most issues seem like practical challenges, companies and intermediaries tend to choose the path with the fewest obstacles. Any friction at the distribution or settlement layer reduces interest in a new route, especially if the upside is limited.
Regulators also outlined the questions they want the market to address during the consultation. They want to understand whether the compensation limits reduced interest in the exemption and whether a different structure could support fair incentives. They also want feedback on how the lack of electronic settlement access affects issuer decisions, how the advice restrictions affect client relationships, and whether issuers and investment dealers need clearer guidance on how to include exempt market dealers in selling groups.
Why This Outcome Matters to the Market
Founders want financing routes that feel clear and predictable. Investors value trusted relationships and efficient execution.
Exempt market dealers want a model that supports their clients as they grow, along with fair compensation.
Read: DealMaker Raises $20M to Expand AI Capital Platform
The exemption tried to bridge the exempt market with the prospectus market but with only four completed transactions under the temporary exemption, data suggests that the approach wasn't sustainable for both issues and dealers who want reliable access to distribution during growth stage financing.
For founders, this means they will need to continue to rely on investment dealers when they reach the prospectus stage.
For investors, this means their EMD cannot guide them through a prospectus purchase because the rules doesn't allow exempt market dealers to advise clients on prospectus securities.
Regulators are now looking for feedback that reflects what founders, investors and dealers experience on the front line to better understand incentives, bottlenecks and market behaviour.
Regulators Look for Practical Market Insight
The Ontario Securities Commission recently launched a program offering $30,000 in grant support to academic researchers for new research work on Ontario capital markets. This program encourages research that helps regulators understand how companies raise capital and how the market supports growth. Note, NCFA previously wrote about how wider participation may better unlock the kind of innovative policies required in 2026 and beyond to support a dynamic and competitive capital market while protecting investors.
See: Market Forces Pressuring Fintech Plans For 2026
The combination of the CSA consultation and the OSC research program are signs that regulators want practical input grounded in real activity. The pilot produced limited use, so regulators now want to hear from market participants before they consider any new approach.
Outlook
Canada needs rules that help companies raise growth capital and help investors access opportunities backed by clear standards. The temporary EMD selling group exemption didn't move the needle enough in the practical world to support extension.
The CSA consultation now gives the market a chance to highlight what helps and what slows down capital formation. Founders, investors and dealers have an opportunity to provide inputs that supports growth and strengthens Canada’s competitiveness in capital markets innovation. Submit your consultation comments to the CSA here before January 26, 2026.
The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, artificial intelligence, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org
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Newfoundland Utility Ruling And Crypto Mining In Canada
Crypto Mining | Dec 1, 2025
AI generated image
Competing Demands Within Canada’s Clean Power Strategy
On November 28 2025, the Financial Post reported that the Newfoundland and Labrador Court of Appeal issued a ruling involving Blockchain Labrador Corporation (BLC) that confirmed NL Hydro can limit firm electricity service for new crypto mining operations.
BLC originally applied for 20 megawatts of guaranteed power service for a site in Wabush but NL Hydro declined to commit to that level because it needed to protect capacity for industrial, household and export priorities. Instead, NL Hydro will supply 7.75 megawatts to the company on an interim basis.
The ruling outcome confirms that NL Hydro has set boundaries on clean electricity when new digital workloads (ie. crypto mining, AI processing) add pressure to a constrained system.
National Mining Footprint In Perspective
Canada was once a notable player in global Bitcoin mining with national activity reaching close to 10% of global hashrate in 2021 but it's participation has since declined. Hashrate Index estimated that Canada held about 4% to 5% of global hashrate in their 2023 Canadian mining review, and then in a recent Q4 2025 global hashrate heatmap update benchmarked the country near 2.9%.
Canada's reduced footprint reflects a sector now concentrated in a few established companies. This smaller group of operators (see below and note, not exhaustive) also gives provinces more room to manage clean electricity across many competing needs.
See: DMG Blockchain Plans Oregon Site for AI and Mining
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- Hut 8 operates sites in southern Alberta and North Bay and previously expanded its access to electricity resources through the Medicine Hat power agreement, while continuing to build new compute and data capacity through its Vega facility expansion
- Bitfarms continues to run hydro powered installations in Quebec, as noted in the Canadian mining assessment, along with additional development in Latin America
- HIVE and DMG maintain Canadian infrastructure while building new facilities in other regions, including DMG’s plans for Oregon expansion.
Provincial Decisions On Clean Power
Several provinces with hydro based systems have taken steps to manage electricity access for mining and other high demand digital activities.
British Columbia's clean electricity announcement enabled restrictions on new mining connections. The province later confirmed a permanent limit in the 2025 energy release, and the Court of Appeal supported provincial authority to set these boundaries in the Conifex ruling summary.
Manitoba adopted a pause on new mining activity when the utility raised concerns about the scale of new load requests. The province issued this direction in the 2022 guidance on electricity connections and extended the pause through 2026 in the 2024 directive on cryptocurrency operations.
New Brunswick took a more restrictive position. The provincial Electricity Act prevents a distribution utility from extending electricity to a new crypto mining business, which appears in the current consolidation of the Act and adopted through Bill 10.
See: Corporate Crypto Treasuries Cross $137B as DATCos Multiply
Quebec continues to serve existing projects but limits new load and uses a dedicated rate class for this sector. A review commissioned by Hydro Québec found that mining produces fewer jobs for each megawatt consumed compared to data centres and industrial users, which encouraged ongoing limits.
Alberta remains an outlier, operating a deregulated, competitive market for electricity that allows mining companies and compute operators to negotiate directly for supply, supported by broader generation options.
Global Evidence On Mining Electricity Use
Global research from the Cambridge Centre for Alternative Finance (CCAF) offers insight into energy use for digital mining. Cambridge estimates that Bitcoin mining draws about one hundred thirty eight terawatt hours of electricity per year, as described in CCAF's update on sustainable energy use and detailed further in a Cambridge digital mining report.
The research shows that more than half of global mining electricity comes from sustainable sources such as hydropower, wind and nuclear.
Low cost clean electricity attracts miners, data centres, industrial electrification and long term export contracts. Provinces build policies that protect available capacity for the users that advance their long term economic priorities.
Why This Matters
Crypto mining can contribute value when it aligns with provincial priorities but utilities now apply stronger criteria when making decisions about supplying consistent clean energy.
Read: SEC Confirms Crypto PoW Mining is Not a Security
The ruling involving Blockchain Labrador Corporation is an example of how a province evaluates new digital load against industrial development, household reliability and export duties. Informative for any Canadian fintech leaders following the developments in digital finance, compute infrastructure and national (global) ambitions for clean energy growth.
The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, artificial intelligence, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org
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