The first steps for the unified cryptocurrencies regulation have been postponed to next July 2018 due to “insufficient material”.
At the press conferences post G20 in Buenos Aires, where global economic leaders gathered to discuss global finance issues, on the topic of cryptocurrencies, the President of Argentina Central Bank, Frederico Sturzenegger, declared that the member nations present agreed that cryptocurrencies needed to be examined, but that more information was needed before any regulations could be proposed.
Specifically, Sturzenegger declares as follows:
“In July we have to offer very concrete, very specific recommendations, not ‘what do we regulate?’ But what is the data we need?”
It is necessary to gather more information before implementing prohibitions or judgments
As already anticipated last Sunday by the Financial Stability Board (FSB), which coordinates the financial regulation for the G20 countries, we need to implement greater international coordination in monitoring these rapidly evolving technologies (which still represent 1% of GDP’s Financial Stability) .
In particular FSB’s President and Bank of England head, Mark Carney said in a letter to the finance ministers and governors of central banks, as follows:
“The first assessment of the FSB is that: at the moment these crypto-activities do not pose a risk to global financial stability.”
It seems therefore that the attitude on the issue of cryptocurrencies held at the G20 so cautious has certainly softened the various government officials and bankers statements held earlier (such as Germany, France for example) that aimed at hard actions to protect investors against crime and fraud .
In addition, there has been a strong recognition of blockchain technology as a tool for financial development that even if at present it represents only 1% of all global finance, it is however rapidly growing.
In fact, the final idea was to rely on monitoring crypto-assets
Not all countries are on board with this approach, however. According to local news outlet El Cronista, Brazil’s Central Bank president Ilan Goldfajn has revealed cryptocurrencies won’t be regulated in his country.
In any case, despite the lack of data, G20 has committed itself to apply to cryptocurrency the FATF standards — Financial Action Task Force, an intergovernmental body created to combat money laundering and terrorist financing.
In a statement issued Tuesday afternoon, the G20 stated:
“We commit to implement the FATF standards as they apply to crypto-assets, look forward to the FATF review of those standards, and call on the FATF to advance global implementation. We call on international standard-setting bodies (SSBs) to continue their monitoring of crypto-assets and their risks, according to their mandates, and assess multilateral responses as needed.”
In these days dedicated to the first world discussion on the crypto-assets regulation, the Bitcoin’s price has nevertheless held up, averaging on the 8000 USD (coimarketcap.com).