Canada has released draft stablecoin regulations that draw a clear line between permissible transaction-based rewards and prohibited passive yield. Under the proposed rules, issuers may offer rewards tied directly to transactions, while arrangements that pay holders through third parties simply for holding coins would be classified as banned yield. The framework aims to prevent stablecoins from functioning as interest-bearing instruments while still allowing issuers to incentivize active use. Public comments on the draft rules remain open until December 23.