G-7 Ministers Discuss Crypto Regulation and CBDCs
- G-7 finance ministers discuss commitment to regulating crypto-assets and exploring CBDCs in Japan.
- Group calls for regulation, monitoring, and oversight of crypto while supporting innovation.
- Financial Stability Board (FSB) to finalize high-level recommendations for crypto regulation by July 2023.
- Eleven countries have launched CBDCs, with all G7 economies in the development stage.
The G-7 finance ministers met in Japan over the weekend to discuss their commitment to regulating crypto-assets and exploring central bank digital currencies (CBDCs). According to a press release, the group called for regulation, monitoring, and oversight of crypto while supporting innovation.
Keep an eye out for the Financial Stability Board (FSB) finalizing its high-level recommendations for crypto regulation by July 2023. The FSB, an international advisory body created by the G20, has expressed concerns about custodial wallet providers, exchanges, and liability around losing private keys.
The G-7 appears to be doubling down on these recommendations, committing to implementing effective regulatory and supervisory frameworks for crypto-asset activities and markets. Meanwhile, the group acknowledged that CBDCs could have a "substantial role" in a reliable global payment system. With eleven countries already launching CBDCs and all G7 economies in the development stage, it's clear that digital money is on the rise.
As of now, 114 countries representing over 95% of global GDP are exploring CBDCs, a significant increase from just 35 countries in May 2020.
In other news,
- Gov. Ron DeSantis bans CBDCs in Florida. Read more.
- SEC prepared to assist amid surge in enforcement actions for crypto startups. Read more.