SoVote

Decentralized Democracy

House Hansard - 131

44th Parl. 1st Sess.
November 21, 2022 11:00AM
Context: House Hansard - 131 - Nov/21/22
Mr. Larry Maguire (Brandon—Souris, CPC)
Madam Speaker, I welcome the opportunity to speak to Bill C-249. The member for Winnipeg North's speech is a fine reason why the Liberals are dropping in the polls in popularity with Canadians. I wonder if he would say the same thing about any other tradeable asset in Canada. After all, Canada does depend on trade and regulations. First, before I get into the speech on why we need to move forward and have an open view of getting this bill to committee, I want to thank my good friend and colleague from Calgary Nose Hill for introducing this very important legislation, as was said by the other members as well. Her passion and zeal for good public policy is to be commended. She has an innate ability to cut through the claptrap and get straight to the point. She is results-oriented and always comes to the table with a plan. Her private member's bill is a great example of just that. I know she has carefully crafted the legislation to allow the Standing Committee on Finance ample room to put forward amendments once expert witnesses have had an opportunity to testify. Unlike some legislation with crafters that guard against any amendments, my colleagues in the House will find that the hon. member for Calgary Nose Hill is ready to work with everyone. This legislation will start the conversation about how the Government of Canada can begin the process of developing a national framework to protect investors and to encourage the growth of blockchain technology across the country. None of us is so naive as not to notice the recent uptick in media coverage on cryptoassets. The markets are down. Some NFTs have failed spectacularly. When cryptocurrencies are being written about by political commentators, we know they have finally broken through to the mainstream. With the recent collapse of FTX and the financial fallout felt by many, there is no better time for Parliament to start this conversation. Those involved in the industry want a regulatory system that will help them build trust, and that is a key point. They want a system that will provide clear guardrails and more stability for all those involved. Legal clarity and better education will lead to more innovation. I also want to stress that we cannot let this issue get polarized to the point that it becomes too toxic to discuss. The fact that the industry is being disparaged for political reasons is short-sighted and thoughtless. I would encourage all my colleagues in the House to go back to their respective caucuses and stress the need to support this bill and to turn down the rhetoric. I will tell members why as we move forward. During the first hour of debate on this bill, my colleague from Calgary Nose Hill laid out a compelling argument for why it is time for the Government of Canada to start working on a national framework. As she said in her speech: Many innovators and proponents of cryptoassets in Canada are actually calling for the federal government to use its convening power to provide policy clarity to the industry. The current lack of clarity, particularly on safeguards to protect those working in the space, is seen as an impediment to investment. Across the country, there is a mix match of policies. While we respect the jurisdiction of the provinces, the federal government can help facilitate a much more harmonized set of policies for cryptoassets. There are some recent examples of this happening in other countries. Recently, the President of the United States issued an executive order for the federal government to start drafting a plan. The EU has also started working on a plan so that various countries and industries are in sync. The acceptance and use of cryptoassets is on the rise. That includes cryptocurrencies, utility tokens, security tokens and stablecoins. Cryptoassets will only continue to grow in prevalence in the years ahead. According to the latest statistics, close to 5% of Canadians now own a cryptoasset. Across the globe there are now thousands of cryptoassets, and more will be made available in the years to come. Regardless of whether someone wants to invest in or purchase a cryptoasset, hundreds of thousands of Canadians are currently engaged in the industry. It is about time we started to think about a national framework and to get various jurisdictions working together. The Canadian securities administrators are now working in collaboration with the investment industry. They even released guidance for platforms to ensure they are in compliance with regulatory requirements. Securities regulators in individual provinces are now starting to regulate crypto-trading platforms to protect Canadian investors. Last week there was a meeting on Parliament Hill with many of Canada's leading blockchain companies. It was encouraging to hear how they too want to start engaging with policy-makers. In Canada, we have some of the best and finest innovators in this growing industry. They have the talent and the solid foundation to further expand their operations. They are optimistic about the future of blockchain technology. Our government should also have the same optimism and can-do attitude. What we do not want to see happen again are more lost opportunities, such as when Ethereum, which was mostly designed and developed in Canada, moved to Switzerland. Other countries are quickly realizing the potential of the entire industry and are quickly seizing this moment. As companies are looking around at countries in which to set up shop, I want Canada to be at the top of their list. I want Canada to be known as a jurisdiction where governments work with and listen to those in the industry, while also educating the public and protecting its investors. Those in the industry are already talking about making our country a blockchain hub. They see this technology as a way to have a more transparent Internet, and one that will help drive better skills training for the jobs of tomorrow. The Web3 economy is here and as Morva Rohani, the executive director of the Canadian Web3 Council said, “blockchain and related technologies have unleashed a wave of innovation and creativity for a generation of entrepreneurs.” The key to this speech is that, at its core, this is what this bill is all about. As the industry grows, I want to see those jobs and the wealth created by those innovators' ingenuity stay right here in Canada. I want Canada to be the best place in the world for the Web3 economy and blockchain innovation. As with many new innovations, they have the capacity to be used in many ways that were never originally imagined. For instance, blockchain technology can be utilized in various financial services, including remittances, digital assets and online payments, because it enables payments to be settled without a bank or other financial institution taking a cut. Furthermore, the next generation of Internet interaction systems, including smart contracts, reputation systems, public services and security services, are among blockchain technology's most promising applications. As the Canadian Web3 Council said during their meeting on Parliament Hill last week, blockchain technology can be used for social good. Whether it be energy, climate and the environment, or health care and even agriculture, the potential of this budding industry is endless. In closing, I urge all of my colleagues to vote in favour of this bill. Let us send it to the finance committee and have the thorough consultations that are long overdue. I believe that it would be prudent for all of us to continue to learn more about blockchain technology. This is an exciting opportunity for the Canadian economy, for our innovators and, most importantly, to help create the jobs of tomorrow.
1297 words
All Topics
  • Hear!
  • Rabble!
  • star_border