Canadian House of Commons Backs Blockchain Technology and Digital Currencies
Members of the Canadian House of Commons have demonstrated their backing of blockchain technology and digital currencies in a report produced by the Standing Committee on Industry and Technology (INDU).
The report, containing sixteen distinct suggestions, emphasizes the benefits and possibilities of blockchain technology in multiple industries. After the INDU’s assessment, the committee formulated proposals that they included in the report for the House of Commons or the government to ponder over.
The Government of Canada should acknowledge blockchain as a burgeoning sector with immense potential for generating economic growth and employment in the long run. Furthermore, it should prioritize safeguarding people’s right to self-custody and ensuring secure and dependable access to digital resources.
Proposals for the Government to Ponder Over
As the nation was advocating for its crypto regulations, the INDU proposed that the government devise a national blockchain strategy that includes experts, entrepreneurs, academics, investors, and the AI industry. This strategy should set up a platform for information sharing and monitoring, assess potential areas for disruption, give advice to the government on potential initiatives, and help the government in executing the chosen initiatives.
The government should also collaborate with other nations to create regulations and policies regarding blockchain, launch experimental projects utilizing distributed ledgers, have a special regulatory approach to stablecoins, encourage the formation of federally regulated cryptocurrency custodians, and give blockchain companies access to banking and insurance services.
The report advocated for the creation of a public awareness campaign to teach the public about the risks associated with cryptocurrencies and the advantages of using regulated Canadian entities when accessing cryptocurrency markets.
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In an effort to make blockchain technology more widely used, the government should explore methods to encourage the integration of blockchain technology into supply chains and analyze the new possibilities this technology offers for electronic voting, consultation, and the modernization of democratic processes.
Recently, the Department of Finance has put forward legislative amendments to the Excise Tax Act concerning the GST/HST application to crypto asset mining and remuneration. The INDU proposal suggested that there be examinations into the fairness between provinces in the implementation of the Excise Tax Act with regard to mining activities, and maintained that digital asset mining is a competitive industry.
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