Canada’s Office of the Superintendent of Financial Institutions (OSFI) said in a statement that it maintains a technology-neutral stance and does not view tokenized deposits or other digital forms of deposits as legally distinct from traditional deposits. The regulator said the underlying technology used in a financial product or service does not determine its legal character. OSFI also said federally regulated financial institutions must make sure their innovation activities comply with applicable laws and regulations, including activities carried out on their behalf by third parties. The statement pointed institutions to existing supervisory expectations, including Guideline B-13 on Technology and Cyber Risk Management and Guideline B-10 on Third-Party Risk Management. Before launching any new product or service, financial institutions are required to engage with their OSFI lead supervisor in advance. The regulator added that institutions should seek legal advice when necessary. The statement lays out OSFI’s compliance expectations for tokenized and other digitally delivered deposit-related initiatives without assigning a different legal status based solely on the technology involved.

Ripple plans to acquire Toronto-based stablecoin payment platform Rail for $200 million. Rail is expected to handle over 10% of global B2B stablecoin payments by 2025. The deal enhances Ripple’s virtual account capabilities and back-end payment tools, continuing its $3B+ M&A strategy to build a comprehensive crypto payment infrastructure.