G20 supports cryptocurrencies regulations issued by the FATF
The FATF to combat financial crimes such as money laundering and terrorist financing took its initiative to the G20 summit
The governments of the G20 countries met in Osaka, Japan, last weekend and issued official support for the Financial Action Task Force’s (FATF) guidelines on the regulation of cryptocurrencies. The institution’s leaders had previously announced that they would align with these guidelines.
The proposal includes the discussed travel rule that requires digital asset exchanges to collect and transfer customer information during transactions. Critics of the travel rule have said that its implementation would require levels of collaboration difficult to manage and would be costly to adopt.
Privacy was also at the forefront of concerns. That is why Joseph Weinberg, blockchain advisor to the Organisation for Economic Co-operation and Development (OECD) said the implementation of the travel rule could become a major privacy issue. It was questioned how the security of transaction details and user identity data could be guaranteed.
The G20 leaders admitted that technological innovations can bring significant benefits to the economy as a whole. However, in cryptographic currencies specifically, they remained cautious.
“While cryptoactives do not pose a threat to global financial stability at this time, we are closely monitoring their development and keeping an eye out for existing and emerging risks. We welcome the ongoing work of the Financial Stability Board (FSB) and other standard-setting bodies and ask them to advise us on additional multilateral responses as needed.”
L.Saenz
Source: Diario Bitcoin
