Crypto policy for global regulation. G20 countries aim to build policy consensus on crypto assets for better global governance. “After the meltdown of crypto we have seen recently, it is clear that we need an international regulatory framework,” said International Monetary Fund (IMF) Deputy Managing Director Gita Gopinath.
G20 Countries Discuss Crypto Regulations
G20 finance ministers and central bankers met for the first time under Indian leadership from December 13 to 15 in Bangalore. Ajay Seth, India’s Secretary of Economic Affairs, told a press conference on Wednesday that the G20 countries intend to develop policy consensus on crypto assets for better global standards.
Explaining that crypto-assets will be studied for the economy, monetary policy and the banking industry for the creation of a contract, Seth was quoted by Reuters as saying:
Laws should be based on political ideology. In fact, one of the things that was put on the table is to help different countries to create an agreement for policy measures for crypto assets.
The collapse of the FTX crypto exchange led to calls for better monitoring of the crypto market. FTX filed for bankruptcy in the United States on November 11, and former CEO Sam Bankman-Fried (SBF) was arrested this week. The US government and regulators have brought numerous fraud charges against FTX and Bankman-Fried.
The Group of 20 (G20) is Argentina, Australia, Brazil, Canada, China, France, Germany, India, Indonesia, Italy, Japan, Republic of Korea, Mexico, Russia, Saudi Arabia, South Africa, Turkey, United Kingdom. , the United States and the European Union. This group has about 85% of global GDP.
IMF’s Gita Gopinath Supports Global Crypto Standards
International Monetary Fund (IMF) Deputy Managing Director Gita Gopinath said on Thursday that the G20 under the leadership of India can make progress in three areas: debt control, crypto regulations and climate finance. Gopinath is currently in India to attend the G20 meeting.
He explained that there is a need for universally accepted standards for crypto standards, saying:
After the meltdown of crypto we’ve seen recently, it’s clear that we need international regulatory standards. Progress on this front to achieve this by 2023 would be a good result.
Seth also said on Wednesday that one of the key issues to be discussed by the G20 is the use of central bank digital currencies (CBDCs) globally. India’s central bank, the Reserve Bank of India (RBI), has launched digital retail pilots.