The Standing Committee on Banking, Trade and Commerce of the Canadian Senate has concluded its study on digital currency, releasing a report Friday stating that the best strategy for dealing with cryptocurrencies is to tread carefully with respect to their regulation.
“After 14 months of study and consideration, we believe that the best way to move forward with digital currencies is to monitor the technologies, particularly cryptocurrencies, as they evolve, while government organizations, such as Canada Revenue Agency (CRA), the Financial Transactions and Reports Analysis Centre of Canada (FINTRAC) and police services, continue learning to navigate and use blockchain technology,” said committee chair Senator Irving Gerstein in a press release.
“These new technologies may have innovative and as-yet unimagined applications are at a delicate stage in their development and use. We must tread contemplating regulations that might restrict and stifle their potential,” added Gerstein.
To mitigate risks associated with the illegal use of digital currencies, such as money laundering, the report recommends