G20 member held a summit with regards to the cryptocurrency assets. They say cryptocurrencies do not risk the overall financial system. Despite, the G20 members want to carefully observe the evolving market to avert the illegal activities.
G20 and FSB on the Same Track
Financial Stability Board is an organization that analyzed and recommends the G20 on the global financial systems. They announced a press release delivering the same motive as that of G20 members.
In accordance with the report, on Sunday the G20 member countries including the finance ministers with central bank governors held a conference and ingeminated their plan on the “hawk-eyed” cryptocurrency observance.
They announced their position being a part of a communiqué, and believe that the underlying technologies with the digital assets can enhance the variant sectors globally. Majority of experts have revealed the power of blockchain technology to solve the issues in diverse business areas.
Crypto-assets do, however, raise issues with respect to consumer and investor protection, market integrity, tax evasion, money laundering, and terrorist financing. Crypto-assets lack key attributes of sovereign currencies. While crypto-assets do not at this point pose a global financial stability risk, we remain vigilant.
In March, an agreement was made to monitor the cryptocurrency status and to nurture the cryptocurrency regulations proposals. This was in the scene when G20 members made a decision to get ready by July with the cryptocurrency regulation recommendations.
Note: Financial Action Task Force (FATF) is an intergovernmental authority which fights terrorist financing and money laundering
G20 further arranged a meeting with the Financial Action Task Force (FATF). This was to figure out within three months how its existing AML standards can pertain to the cryptocurrency. The previous month report says “the FATF is developing the unbreakable rules of AML”.
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