Hey MoneyNerds,

This week we dive into a spicy Reddit thread to take on the renting vs buying debate, we explain the term “stablecoin” (and why its been in the news lately) and breakdown some credit card points news.

Let’s get to it.

Mute the chatter and tune in to our Nerdy take on trending convos.

This week: "Renting isn't throwing your money away."

On a thread asking for financial hot takes, one Redditor answered: “Renting isn’t “throwing your money away.” If the cost of owning a home is higher than renting, and you invest the difference wisely, you can absolutely build financial success.” 

🤓 Nerdy take: We love it when Canadians think outside of the box and this Redditor is doing just that. Buying a house isn’t always possible, nor is it the only way you can build wealth. In fact, some financial gurus, like writer Morgan Housel, say buying a house is more of a lifestyle decision than a financial one, and people are better off renting if they don’t need to buy. On the flip side, buying a house can be a savvy investment that comes with a sense of stability, especially if you’re not comfortable with riskier investments and are ready to build a forever home. 

The main takeaway: Place your personal priorities, budget and long-term plans at the center of your decision making, instead of adhering to societal norms or pressures around homeownership. 

Learn more: How to decide between renting and buying

We demystify the jargon so you never feel out of the loop.

Give it to me in one sentence:
A stablecoin is a digital asset designed to hold a steady value, often by being pegged to a currency like the Canadian or U.S. dollar; in Canada, regulators often call them “value-referenced crypto assets.”

Why should I care?
Stablecoins are moving closer to the financial mainstream: Wealthsimple is part of a new Canadian stablecoin settlement pilot with Visa Canada, while Tetra Digital Group recently made history by launching CADD, a Canadian-dollar-pegged stablecoin backed by institutions including National Bank, Shopify and Wealthsimple. But “stable” doesn’t mean risk-free, so it’s worth understanding how a coin is backed, regulated and used before treating it like cash.

Have questions? Read more about Canada’s stablecoin framework and CSA guidance on value-referenced crypto assets.

As of May 13th, Scene+ members now earn fewer points on many Cineplex purchases. Cineplex and Scene+ have published notice that earn rates are changing for tickets, food and beverages, merchandise and gaming.

The earn rate on standard movie tickets, for example, is dropping to 3 Scene+ points per $1 from 5 points per $1.

Cineplex has long been one of the easiest, most visible ways to collect Scene+ points without trying very hard. When the casual earn rate slips, the program loses a little of its everyday charm. While some premium categories are getting higher earn rates, the average moviegoer will lose out.

Takeaway: If Cineplex is where most of your Scene+ points come from, this change will make the program less rewarding. That puts even more pressure on the rest of the earn-and-redeem ecosystem to do the heavy lifting.