Canadian regulators clarified that tokenized deposits have the same legal status as traditional bank deposits.

According to TechFlow, on September 12, Bitcoin.com reported that Canada's Office of the Superintendent of Financial Institutions (OSFI) stated that tokenized deposits are legally equivalent to traditional bank deposits, and the underlying technology used does not alter the legal nature of the product itself.

This means Canadian banks and other regulated financial institutions can explore tokenized deposits within the existing regulatory framework without waiting for new regulations specifically tailored to this product. However, relevant institutions must still comply with current financial laws and regulations and bear compliance responsibility for related services provided by third parties.

OSFI also requires financial institutions to consult with supervisory regulators before launching such innovative products or services, and recommends seeking legal counsel in advance.