[The Bank of Canada shelved its digital Canadian dollar CBDC plan] Golden Finance reported that the Bank of Canada shelved its plan for a central bank digital currency (CBDC). The Bank of Canada first launched a research project in 2019 to explore the creation of a digital Canadian dollar and conducted a public consultation in 2022. In a research paper in early 2024, the central bank argued that the introduction of a CBDC could help Canadians maintain monetary sovereignty and financial stability as cash usage continues to decline nationwide. Another paper also found that if implemented, the new CBDC could reduce the country's bank deposits by up to 12%. However, the central bank said it would continue to conduct policy research and analysis on payment developments in Canada and abroad.