On Oct. 13, the Group of Twenty (G20), a prominent intergovernmental forum comprised of 19 sovereign nations, the European Union, and the African Union, made a significant decision during its meeting in Marrakesh, Morocco. The G20 members unanimously adopted the “G20 Finance Ministers and Central Bank Governors Communique” and embraced the crypto regulatory roadmap outlined in a joint report presented by the International Monetary Fund (IMF) and the Financial Stability Board (FSB) in September, entitled “IMF-FSB Synthesis Paper: Policies for Crypto-Assets.”
In their joint statement, the G20 countries declared their commitment to swift and coordinated implementation of the G20 Roadmap. This roadmap encompasses the development of policy frameworks, extending efforts beyond G20 jurisdictions, global coordination, cooperation, and sharing of information, as well as addressing existing data gaps in the crypto industry.
The IMF-FSB paper advocates for comprehensive oversight of cryptocurrencies rather than an outright ban. It offers high-level recommendations that include fostering cross-border collaboration and information exchange among regulatory bodies. It also stresses the need for robust governance and risk management frameworks for crypto companies, along with ensuring authorities have access to pertinent data provided by these companies.
The first review of the proposed measures’ implementation status is scheduled to occur by the end of 2025, as outlined in the IMF-FSB report.
In October, the IMF further contributed to the ongoing discussions about cryptocurrency regulation by publishing a working paper titled “Assessing Macrofinancial Risks from Crypto Assets.” This paper introduces a crypto risk assessment matrix, which countries can use to identify indicators and triggers of potential risks within the crypto sector.
The global call for a comprehensive crypto regulatory framework has been intensifying, with regulators from various countries emphasizing the need for international cooperation. Mário Centeno, the governor of Portugal’s central bank, has called for a “robust framework” to prevent regulatory arbitrage. A similar sentiment was echoed by the executive director of strategy, policy, and control at the German Federal Financial Supervisory Authority, who highlighted the inconsistencies in crypto regulations on a global scale.
The G20’s unanimous adoption of the crypto regulatory roadmap and their commitment to coordinated implementation represent a significant step towards achieving international consensus on crypto regulation and ensuring the stability and security of the cryptocurrency industry on a global scale.
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