QCAD Stabelcoin Regulated by FinTRAC

February 12, 2020 | Wednesday

Cryptocurrency

   

Blockchain firm Mavennet and major Canadian investment fund manager 3iQ co-launched a newly regulated stablecoin pegged to the Canadian dollar (CAD). Launched on February 11, a joint venture between 3iQ and Mavennet, QCAD is the latest CAD-based stablecoin developed by Canada Stablecorp. According to the Ethereum blockchain, QCAD imposes popular token standard ERC-20 and is targeting the mass market. As of now, QCAD is not yet listed on major websites tracking crypto market capitalization like Coin360. Still, it can be tracked via Ethereum blockchain explorer Etherscan. Based on Etherscan, five addresses with a total supply of 150,350 CAD ($113,000) are holding QCAD. After the launch, Canadians can quickly trade QCAD against major cryptos such as Bitcoin (BTC), Ether (ETH), and USD Coin (USDC) - a USD-pegged stablecoin launched by Coinbase and Circle. In the announcement, users can directly purchase QCAD via partners like DVEX, Newton, Bitvo, Netcoins, and Coinsmart. QCAD, based on Stablecorp, gains support from crypto custodians like the global crypto processor BitGo and local crypto custody service Balance. The firm, in the future, wants to extend QCAD to more networks aside from Ethereum. Stablecorp's chief operating officer Rob Durscki noted, "QCAD, by concept, is chain agnostic. Our main concern is user experience and security, and that's what lead us to start with Ethereum." He stated that this was all because of its robust infrastructure and prosperous past and current projects. Nevertheless, they will plan on assessing more networks. And they focus it on their client's experience.

Regulation

Now, some of the Stablecorp's partners are stating that QCAD is the first fully compliant stable coin, with a 1/1 CAD equivalency. Then, Durscki indicated the company's work with local financial regulators. With that, it entails Know your Customer and Anti-Money Laundering (AML) policies and security. Furthermore, they designed Stablecorp's policies and systems to completely follow with Canada's major AML agency, the Financial Transactions, and the Reports Analysis Centre of Canada (FinTRAC). Durscki emphasized that the FinTRAC will begin regulating Stablecorp under a specific business category in June 2020. In addition to that, the COO guaranteed that Stabecorp holds their CAD deposits with an independent custodian that gives periodical statements of CAD balance versus QCADs in circulation. And this is to check that QCAD is backed with a proper amount of Canada's fiat currency. Stablecorp calls QCAD the first Canadian dollar stablecoin made for the mass market. But the coin is apparently not the first stablecoin pegged to the Canadian dollar. As of now, there are about two other CAD-pegged stablecoins - Coinaquare-backed eCAD and TrustToken's TrueCAD.

   

Loving what you've read now and want to have more news similar to this? Send your contact details here. Need to advertise your business? Connect with us now, and we'll be glad to help.