Lynx

Lynx provides the setting in which the Bank of Canada conducts its monetary policy. Effective September 2021, it replaced the Large Value Transfer System (LVTS).

About Lynx

As part of Canada’s payments modernization efforts, Lynx replaced the Large Value Transfer System (LVTS) in 2021. It inherits the operational functions to:

  • reinforce the Bank’s policy interest rate
  • provide a means for settling obligations from other financial market infrastructures (FMIs)
  • channel liquidity from the Bank to financial institutions in times of crisis
For more information, read the press release.

About the LVTS

The Large Value Transfer System, or LVTS, was an electronic wire system that let financial institutions and their customers send large payments securely in real time, with certainty that the payment would settle. It was launched in 1999 and was replaced by Lynx in 2021.

More information

A Primer on Canada's Large Value Transfer System

by Neville Arjani and Darcey McVanel

A Primer on the Implementation of Monetary Policy in the LVTS Environment, June 2010

Implementing Monetary Policy in the Large Value Transfer System Environment

Two discussion papers, setting out a proposed framework for implementing monetary policy in the LVTS environment, were published (November 1995 and March 1996) before the final report (next) was issued in January 1999.

The framework for the implementation of Monetary Policy in the Large Value Transfer System Environment

Final report, January 1999.

Building the LVTS

Excerpt from the book Planning an Evolution: The Story of the Canadian Payments Association, 1980-2002, by James Dingle