A Calgary-based financial technology firm has launched what is being described as Canada’s first regulated, Canadian-dollar-backed stablecoin, marking a new step in the country’s evolving digital payments landscape.

Tetra Digital Group, through its trust company, introduced a digital token known as CADD that is tied directly to the value of the Canadian dollar. Each unit of the token is backed one-for-one with funds held in reserve, allowing holders to redeem it at face value under a regulated framework approved by Alberta authorities.

The launch is significant because most stablecoins used globally are linked to the U.S. dollar, leaving Canadian businesses without a widely adopted domestic option for digital transactions. The new token is designed to move Canadian dollars across blockchain networks more quickly than traditional payment systems, which still rely heavily on older batch-processing infrastructure.

CADD is currently operating on several major blockchain platforms and is expected to expand further. The system allows near-instant settlement of transactions, which could reduce delays and costs for businesses handling payments, including those operating across borders.

Support for the project includes major Canadian financial and technology players, reflecting growing interest in digital currencies among established institutions. Early use is expected to focus on business-to-business transactions and financial transfers rather than widespread consumer adoption.

Stablecoins are a type of cryptocurrency designed to maintain a fixed value, typically by being backed by traditional currency reserves. Their use has expanded rapidly in recent years, with global transaction volumes reaching into the trillions of dollars, though much of that activity remains concentrated in U.S.-denominated tokens.

The introduction of a regulated Canadian-dollar version stablecoin gives domestic institutions a foothold in a fast-growing segment of financial technology.