The Canadian authorities intend to activate the "Emergency Act," which, among other things, will allow the government to block citizens' bank accounts and track users' transactions with cryptocurrencies, Metro has reported.
The adoption of such drastic measures is reportedly due to the growing incidence of terrorist financing through digital assets.
The expanded scope of the terrorism financing rules includes crypto transactions and gives the government the power to freeze bank accounts.
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Notably, the country's prime minister, Chrystia Freeland, has said in a statement that the government will currently block funds only in relation to organizers and participants of the Convoy of Freedom protest movement.
In relation to the monitoring of crypto transactions, she has pointed out all large and suspicious transfers made by residents of Canada will be under the careful verification of the authorities. She has said:
"These innovations will not only enhance the country's economic security, but will also become an effective tactical maneuver aimed at combating terrorist financing."