I’m pretty sure I’ve seen vending machines in Canada that will press a penny into an imprinted souvenir, just like they have in the states. I’m not sure either is entirely legal, because both deface coins, but the product isn’t coin-shaped which may make all the difference.
Also: it may be legal to deface Canadian paper money, but I’d have thought the notes you now have would make it more difficult, would resist many inks?