G20 resolved to reach a common view on cryptocurrency regulation

The meeting of G20 Finance Ministers and Central Bank Governors (FMCBG) ended with a joint decision on the regulation of the cryptocurrency sector. The International Monetary Fund, the Bank for International Settlements, and the Financial Stability Board were tasked with developing recommendations and an action plan for regulating the cryptocurrency sector.

«We look forward to a document that supports a coordinated and comprehensive approach to digital assets, taking into account macroeconomic and regulatory aspects,» the G20 representatives emphasized.

Klaas Knot, a Dutch economist and chairman of the Financial Stability Board, reminded that his team is preparing recommendations for the regulation of cryptocurrencies and decentralized finance. «This year, the FSB will finalize its recommendations on the regulation and supervision of cryptocurrencies and markets, as well as its recommendations on global stablecoin agreements that have characteristics that could threaten the stability of the financial system,» said Klaas Knot.

The International Monetary Fund (IMF) Managing Director Kristalina Georgieva spoke in a tougher vein, saying that a ban on the use of crypto assets may well become one of the regulatory options: «We must urgently take up regulation… and if it fails, if you delay it, then we must consider banning these assets because they can create risks to financial stability.»

As a reminder, the IMF has proposed its own action plan for cryptocurrencies. In it, the fund called on countries to ban cryptocurrencies as legal tender. The plan, outlined in a document titled «Elements of an Effective Crypto Asset Policy,» contains 9 principles that the IMF calls on countries to adhere to in macrofinancial and regulatory matters, as well as in international cooperation in the cryptocurrency sector.