The nations which form the G20 (Group of 20) summit held in Argentina this week were involved in issuing the first official communication in regard to their work to the world’s central banks. The two-page document had various regulations and also acknowledged their potential for the “efficiency and inclusiveness” and also the “tax evasion, money laundering and also terrorist financing.” The Financial Action Task Force (FATF) was urged by the bankers to apply various standards to the “Crypto assets” to “advance global implementation.”
G20 To Tackle Crypto Regs Manana
According to the G20 bankers, they made the following publication;
“We acknowledge that technological innovation, including that underlying crypto-assets, has the potential to improve the efficiency and inclusiveness of the financial system and the economy more broadly. 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 the key attributes of sovereign currencies. At some point, they could have financial stability implications.”
The G20 countries are a representation of two-thirds of the world’s population and also over 80% of the world’s output.
The online post continued;
“We commit to implement the FATF standards as they apply to crypto-assets, 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.”
The crypto enthusiasts breathe a relief sigh
The FATF issued their report this week which involved a 12-page document talking about the “virtual currencies” which denoted that “virtual currency payment products and services (VCPPS)” would involve monitoring with terrorist financing methods which would pose as a threat and also the services and products which pose as a vulnerability. They also brought up the various ways in which regulation frameworks can be exploited by criminals and FATF will be involved in working with Virtual currencies and FinTech to ensure that the risks are mitigated while supporting financial innovation.
FATF based in Paris primarily talked about money laundering emphasizing on terrorism financing. Therefore, its jurisdiction together with around 37 member states can amount to severe financial pressure without sanction. Therefore, this made the cryptocurrency enthusiasts take a giant relief breath.