In a recent CBC News article discussing Tetra Digital's $10 million fundraising to create a Canadian dollar-backed stablecoin, Brent Arnold, founder of the Toronto-based Capstan Legal, expressed skepticism and highlighted risks associated with the emerging technology. Arnold pointed out the current uncertainty around legal frameworks regulating stablecoins and cryptocurrencies, which often vary globally. He urged for tangible proof of stablecoin asset backing and liquid reserves to avoid scenarios where tokens might lose value, provoking a potential bank run and collapse.

Despite the participation of prominent backers such as Wealthsimple, National Bank, and Shopify, Arnold remains unconvinced of a compelling need for a dedicated Canadian stablecoin, describing it as a "solution in search of a problem." His perspective underscores the challenges the industry faces in establishing regulated, secure, and trusted digital currency alternatives in Canada.

Read the full CBC News article featuring Brent Arnold's insights here:
https://www.cbc.ca/news/business/tetra-group-digital-dollar-stablecoin-1.7628075