With inflation still at its highest level in three decades, investors had great expectations for Thursday’s budget presentation.
That said, investors received the presentation by Finance Minister Chrystia Freeland with mixed feelings. However, even though the budget did not make any ground-breaking financial pronouncements, it ventured into a few new territories. Top on that list is cryptocurrency.
That cryptocurrency appeared at all in the 2022 budget was a breakthrough for crypto investors. It showed that the ice on crypto is thawing and more attention is being paid to it.
The federal government said it would launch a financial sector legislative review of the digitalization of money, which will involve paying more attention to digital currencies – including crypto – and how they fit into the stability and security of the financial terrain.
The budget document noted that the initial stage of the review will be directed at digital currencies and stablecoins.
“In the last several months, there have been a number of high-profile examples — both around the world and here in Canada — where digital assets and cryptocurrencies have been used to avoid global sanctions and fund illegal activities,” stated the budget document.
The budget added that the Department of Finance will get C$17.7 million over five years to finance a review of the digital currency sector, which will include a consideration of the need for a central bank digital currency (CBDC) in Canada.
The Canadian government also plans to make changes to multiple pieces of legislation, which include the Criminal Code, to address the issues which stem from the digitalization of money. Consequently, the Justin Trudeau government said it would invest in the Financial Transactions and Reports Analysis Centre of Canada (FINTRAC).
The CoinMarketCap website tracks more than 18,000 cryptos.
Cryptocurrency is gaining attention even among conservatives. It has become a recurring topic of discussion – for good and for bad. That has regularly kept it on the front burner.
On Tuesday, the private bill of Conservative MP Michelle Rempel Garner was debated in the House of Commons. Her desire is for the bill to compel the government to consult experts and create a plan for crypto assets within three years.
Last week, Conservative leadership candidate Pierre Poilievre canvassed for a government that would do more to normalize cryptocurrencies like Bitcoin and Ethereum in Canada, to decentralize the economy and reduce the influence of central bankers.
On Tuesday, in its survey report titled “The rise of cryptoasset adoption in Canada – An outlook on cryptoassets for financial services and institutional investors,” accounting firm KPMG noted that “since 2020, the adoption of cryptoassets has increased significantly and shows no signs of slowing down.”
The survey stated, among other things: “Out of all institutional investor respondents, 32% reported that they have made an allocation to cryptoassets. Most of these allocations were relatively small: 71% reported allocating less than 2% of their portfolio to cryptoassets. The most common way to gain exposure (51%) was indirect, through regulated products such as ETFs and close-ended trusts. Other approaches to gain exposure to cryptoassets include public equities (36%), direct ownership (29%), and limited partnerships through venture capital or hedge funds (29%).”
All these discussions around cryptocurrency help it gain traction and draw the attention of even non-investors.
The cryptocurrency discussions were a refreshing distraction from the unpalatable stories from the war in Ukraine which has continued to affect the investing decisions of people across the globe, especially in Canada.
However, whether or not you decide to invest in cryptocurrency, you must remember that it is a volatile and unpredictable market. You must always conduct diligent research with the help of financial experts before investing your money in any sector or company.
As the investment tastes of our readers are different, so are their reading tastes. This has manifested in our top five stories for this week, which span agriculture, energy, finance, health and mining. Let’s get into the stories.
Avalon Advanced Materials (TSX:AVL) announces lithium refinery partnership
Avalon Advanced Materials has announced a strategic partnership to co-develop a lithium refinery.
The Toronto-based mineral development company signed a binding letter of intent with RenJoules International, an Essar Group Company.
RenJoules will support the co-development of Avalon’s regional lithium materials supply chain.
CEO Don Bubar sat down with Shoran Devi to discuss the partnership.
Avalon is a leader in sustainably developing new critical minerals supply chains in Canada with a current focus on lithium.
Avalon Advanced Materials Inc rose to $0.22 this week, gaining $0.07 or 41.94 per cent as at 2:14 pm EST.
RevoluGROUP Canada’s (TSXV:REVO) RevoluPAY App surpasses 30,000 users
RevoluGROUP Canada has announced that its RevoluPAY App has more than 30,000 registered users.
The company also announced a 3,654 per cent increase in transactions.
CEO Steve Marshall sat down with Shoran Devi to discuss the news.
RevoluGROUP Canada Inc. is a publicly-traded Canadian company deploying advanced fintech technologies.
RevoluGROUP Canada Inc started the week at $0.28 and ended at the same price as at 1:52 pm EST.
Empower Clinics (CSE:CBDT) partners with Ceres Terminals Canada to provide COVID-19 testing
Empower Clinics has launched its COVID-19 testing solutions for cruise line passengers in Vancouver B.C.
The launch is a partnership between Empower and Ceres Terminals Canada.
Steven McAuley, Chairman and CEO of Empower Clinics, sat down with Shoran Devi to discuss the news.
Empower is an integrated healthcare company that provides digital and telemedicine care.
Empower Clinics fell to $0.20 to end the week, losing $0.02 or 9.30 per cent as at 2:51 pm EST.
Trillion Energy (CSE:TCF) reports spike in gas sales price
Trillion Energy saw a 40-per-cent hike in the price of natural gas during a recent sale.
CEO Art Halleran spoke with Dave Jackson about what the price increase means for the company moving forward
Trillion Energy International is an oil and gas production company with assets in Turkey and Bulgaria
Trillion Energy International rose to $0.39 this week, gaining $0.04 as at 1:52 pm EST.
Surge Battery Metals Inc. (TSXV:NILI) announces additional soil geochem results from its Nevada North Lithium Project
Rangefront Mining Services collected 445 samples from its Nevada North Lithium Project.
Results from the exploration work ranged from 29.1 to 5,120 ppm Li with a median value of 244 ppm Li.
Greg Reimer, President & CEO, sat down with Dave Jackson to discuss the results.
Surge Battery Metals is a Canada-based mineral exploration company.
Between Monday and Friday, Surge Battery Metals fell to $0.13, losing $0.01 as at 1:55 pm EST.
While wishing you a wonderful weekend, we look forward to meeting you again next Friday afternoon for another look at the week’s trending stories on The Market Herald Canada.
