India has asked the International Monetary Fund (IMF) and the Financial Stability Board (FSB) to develop a “synthesis paper” on crypto assets as part of the G20 meeting of finance ministers and central bank governors under the chairmanship of India. India. “This would help in the formulation of a coordinated and comprehensive policy approach for crypto assets,” the Indian Ministry of Finance said.
India asks IMF and FSB for a white paper on cryptocurrencies
The Indian government released its “G20 Chairman’s Summary and Outcome Paper” on Saturday following the first two-day G20 meeting of finance ministers and central bank governors that took place in Bangalore on February 24-25. Crypto regulation was among the topics discussed.
During a panel discussion on cryptocurrency regulation as part of the G20 meeting, India requested that the International Monetary Fund (IMF) and the Financial Stability Board (FSB) collaborate on a white paper on crypto assets. According to the summary document:
The IMF and FSB will jointly present a synthesis paper integrating the macroeconomic and regulatory outlook for crypto assets in September 2023.
The document adds that the FSB is “finalizing its high-level recommendations on the regulation, supervision, and supervision of global stablecoins; and high-level recommendations on the regulation, supervision, and surveillance of crypto-asset markets and activities by July 2023.” In addition, the Bank for International Settlements (BIS) will “submit a report on analytical and conceptual issues and possible risk mitigation strategies related to crypto assets.”
India’s Finance Ministry also issued a statement on Saturday following the G20 meeting of finance ministers and central bank governors. “To complement the ongoing dialogue on the need for a policy framework, the Indian presidency has proposed a joint International Monetary Fund (IMF) and FSB technical paper, which would synthesize the macroeconomic and regulatory outlook for crypto assets,” the financial report. Ministry stated, elaborating:
This would help in the formulation of a coordinated and comprehensive policy approach for crypto assets.
India aims to broaden the scope of the G20 discussion on crypto assets to encompass not only financial integrity concerns, but also the macroeconomic implications and widespread adoption of cryptocurrencies across the economy, the statement from the Ministry of Finance further noted. Indian Finance.
Indian Finance Minister Nirmala Sitharaman has been saying for many months that cryptocurrencies will be a priority in G20 discussions under the Indian presidency. She said in October last year that India hopes to come up with a technology-driven regulatory framework or standard operating procedure (SOP) for crypto assets. Sitharaman has also repeatedly pushed for international cooperation in crypto.
This week, the IMF’s executive board released guidance to help countries develop effective crypto policies. In addition to recommending that “crypto-assets should not be granted official currency or legal tender status,” the IMF executive board directors “agreed that hard bans are not the best option, but specific restrictions may apply.” .
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