G20 Crypto Regulation
Cryptocurrency regulations vary from country to country, with some countries regulating it heavily while others choose not to regulate at all. The Group of Twenty (G20) is an international forum for the governments and central bank governors from 20 major economies. As such, they play a key role in setting global economic policy and have made cryptocurrency regulation one of their priority topics.
In March 2018, G20 members met in Buenos Aires and discussed the potential financial stability risks posed by cryptocurrencies as well as how best to regulate them moving forward. They concluded that “crypto-assets do not pose risks to global financial stability currently” but acknowledged that there are still areas where further work needs to be done before implementing a regulatory framework across different jurisdictions.
The G20 has since formed an intergovernmental task force known as the Financial Action Task Force on Money Laundering (FATF) which is responsible for developing standards related to anti-money laundering and countering terrorism financing using digital assets including cryptocurrencies. In June 2019, FATF released new guidelines outlining its expectations regarding how member nations should monitor crypto activities within their borders so as to reduce money laundering risk associated with digital currencies like Bitcoin. These guidelines require exchanges and wallet providers operating within each nation’s jurisdiction to collect information about customers’ identities when transacting certain amounts of cryptocurrency or transferring funds between parties outside of the platform itself. This means that users will need to provide proof-of-identity when engaging in certain transactions involving digital currency on these platforms—a measure designed both protect against illegal activity and ensure compliance with existing laws governing finance transactions within each member’s respective jurisdiction(s).
In addition, the G20 also launched an initiative called “FinTech” (Financial Technology) which aims at promoting innovation in finance through collaboration between different stakeholders such as banks, technology companies, regulators etc.. FinTech initiatives focus on exploring ways technology can be used responsibly improve access financial services for people around world who may otherwise lack access traditional banking institutions due poverty other socio-economic factors; this includes utilizing blockchain distributed ledger technologies increase transparency security payments systems reduce costs associated with cross border remittances etc.. All this together could potentially open up opportunities poorer lower middle classes invest save more easily without having rely solely physical cash or traditional banking infrastructure available them today—in effect allowing individuals take greater control over own economic situation reducing reliance intermediaries thus creating more equitable system overall amongst all participants involved ecosystem regardless class status wealth ownership levels any given society…
