Given the fact that the trucker protesters were using Tether/cryptocurrency to fund their demonstrations, this is a very bad look for the Canadian government.
Given that security regulators are regulating a crypto exchange with standard rules that apply to all crypto exchanges, I think it's a very good look for how a regulator should act.
How a bunch of yahoo random protestors are "funding" their demonstrations is completely and utterly irrelevant. If they were using CAD or USD, would it make a difference to how the currency regulators should work?
This is in fact a real annoyance for USDT investors, as Tether does not pay the risk free rate, which they should, as any USD custodian would.
Which is the definition of monetary deflation…
No, it's the definition of a shrinking money supply. Inflation and deflation are measures on purchasing power, not money supply.
Monetary inflation is when you increase the money supply through the printing press or digging up new gold or whatever. The converse for monetary deflation.
Price inflation != monetary inflation though “they” want you to believe it is.