Wealthsimple began offering CADD, Tetra Trust’s Canadian-dollar stablecoin, to a beta group of clients on November 13, 2026, with a 3.25% annual reward on CADD balances that Wealthsimple funds itself. Wealthsimple and Tetra Digital Group said the coin will reach all Wealthsimple clients later this year. Rewards are paid weekly, and Wealthsimple calls itself the first regulated financial institution to offer CADD.

That reward is the part Canadian readers will ask about, because Canada’s draft federal stablecoin rules ban holding-based rewards. The short answer from the government’s own documents is that those rules are written for a different kind of issuer.

What CADD is

CADD is issued by Tetra Trust Company, an Alberta trust company supervised by Alberta Treasury Board and Finance. Tetra announced on May 4, 2026 that CADD had received regulatory approval from that department. CAD Digital Inc. acts as Tetra Trust’s agent for issuance, distribution and redemption.

According to Tetra’s CADD page, checked on November 14, 2026:

  • each CADD is backed by C$1 held in the CADD Reserve Trust and invested in Canadian-dollar liquid assets, such as cash, money market funds and short-term Government of Canada debt;
  • CAD Digital publishes the reserve ratio daily, and Baker Tilly prepares monthly attestations; the attestations page lists reports from March to September 2026;
  • CADD pays no interest or yield to holders by itself;
  • CADD is not legal tender and is not covered by CDIC deposit insurance.

Tetra lists Ethereum, Solana, Base, Tempo and Arc as supported networks. Wealthsimple’s CADD explainer, updated November 13, says the app supports CADD on Ethereum and Base at launch. In the app, CADD trades against Canadian dollars at 1:1 with no commission and market orders only.

The 3.25% reward and the draft rules

Canada’s proposed Stablecoin Regulations, published in the Canada Gazette on October 24, 2026, would bar issuers from arranging third-party payments for holding a stablecoin, while allowing rewards tied to using one. We covered the full draft in Canada Publishes Draft Stablecoin Regulations.

The same Gazette notice states the scope: once in force, the Stablecoin Act “would not regulate banks; trust, loan or insurance companies; credit unions; or foreign financial institutions.” Tetra Trust is a trust company. The Act and its regulations are intended to come into force in fall 2027, and the scope of the financial-institution exclusion is still subject to the final regulations. Wealthsimple describes its payment as “a loyalty program funded by Wealthsimple — not interest, and not yield paid by CADD itself,” and says it may change the rate.

Term CADD today Draft federal rules for non-institution issuers
Supervisor Alberta Treasury Board and Finance Bank of Canada
Reward for holding 3.25% a year, paid by Wealthsimple Issuer may not arrange holding rewards
Direct redemption fee Greater of C$50 or 0.25%, plus tax Capped at 1% of the amount
Reserve check Daily reserve ratio, monthly attestation Reserve at least equal to outstanding coins at each day’s end

What a direct redemption costs

Wealthsimple says clients can sell CADD for Canadian dollars at par in the app. Holders who go to the issuer instead pay the fee in section 3.4 of the CADD Terms and Conditions: the greater of C$50 or 0.25% of the gross proceeds, plus applicable taxes. Tetra can change it on 10 business days’ notice.

Amount redeemed with Tetra Fee before tax Fee as a share
C$1,000 C$50 5.00%
C$5,000 C$50 1.00%
C$20,000 C$50 0.25%
C$100,000 C$250 0.25%

The C$50 floor and the 0.25% rate meet at C$20,000. Below C$5,000, the floor costs more than 1% of the amount, the ceiling the draft rules would set for issuers inside the federal regime. On rewards, Wealthsimple’s own example is 1,000 CADD held for a year earning about 32.50 CADD.

A direct redemption also needs identity and sanctions checks each time, and the CADD must reach Tetra’s burn address by 3:30 p.m. ET on the second business day after approval. CAD Digital says it uses commercially reasonable efforts to process a redemption within four business hours of receipt.

CADD is not yet in our stablecoin list; other non-dollar, non-euro coins are under stablecoins in other currencies. For the statute behind the federal regime, see Canada’s Stablecoin Act; for how redemption works across issuers, see What Happens When You Redeem a Stablecoin?.

Questions

Is Wealthsimple’s 3.25% on CADD interest?

Wealthsimple says no. It calls the payment a loyalty reward it funds itself, and says rewards may still be taxable income.

Does Canada’s federal stablecoin law cover CADD?

The October 24, 2026 Gazette notice says the Stablecoin Act would not regulate trust companies, and CADD’s issuer is an Alberta trust company. The Act is not yet in force.

Can I redeem CADD without paying C$50?

Selling CADD for Canadian dollars in the Wealthsimple app is at par with no commission, according to Wealthsimple. The C$50 minimum applies to redemptions made directly with Tetra.

Sources

More from the Stablecoins desk.