India’s Push to Regulate Cryptocurrency Gets Support From IMF, US at G20

A push by Group of 20 (G20) president India to regulate cryptocurrencies gained assist from each the International Monetary Fund and the United States on Saturday as finance chiefs of the bloc wrap up two-days of talks.

India has mentioned it desires a collective world effort to take care of issues posed by cryptocurrencies comparable to bitcoin, and the finance ministry mentioned it had held a seminar for G20 member states to focus on how to give you a typical framework.

Speaking to Reuters on the sidelines of the G20 assembly in Bengaluru, US Treasury Secretary Janet Yellen mentioned it was “critical” to put in place a robust regulatory framework however added that the United States had not advised any outright bans.

“We haven’t suggested outright banning of crypto activities, but it is critical to put in place a strong regulatory framework,” Yellen mentioned. “We’re working with other governments.”

Earlier, IMF Managing Director Kristalina Georgieva advised reporters after co-chairing a gathering with Indian Finance Minister Nirmala Sitharaman that banning crypto needs to be an choice.

Indian Prime Minister Narendra Modi’s authorities has for a number of years debated drafting a legislation to regulate and even ban cryptocurrencies however has not made a ultimate determination. The Reserve Bank of India has mentioned that cryptocurrencies needs to be banned as they’re akin to a Ponzi scheme.

On Thursday, the IMF laid out a nine-point motion plan for the way nations ought to deal with crypto property, with level primary a plea not to give cryptocurrencies authorized tender standing.

Such efforts have change into a precedence for authorities, the fund mentioned, after the collapse of quite a lot of crypto exchanges and property over the past couple of years, including that doing nothing was now “untenable”.

© Thomson Reuters 2023