IMF assures that Bitcoin will not affect economic stability

The agency ensures that the fall of the cryptocurrency will not have an impact on global economic stability

The International Monetary Fund (IMF) assured that, despite the fact that the cryptocurrency market has been in a downtrend, this will not directly affect global financial stability.

In a report prepared days ago, the IMF indicated that the world economy is currently facing several challenges, highlighting the high inflation rate, the continuous Covid-19 blockades and the consequences of the war in Ukraine.

“The indirect effects on the financial system in general have been limited so far,” the agency highlights in a part of the report.

The IMF referenced the implosion of Terra’s algorithmic stablecoin, UST, as well as recent cases of insolvency, when addressing the cryptocurrency crash. Fund Three Arrows Capital, and crypto lenders Celsius and Voyager have recently filed for bankruptcy.

However, the crypto market turmoil was not the main topic. In its report, the IMF warned of the risks of a recession after announcing cuts to its global growth projections for 2022 and 2023. According to CNBC coverage, the organization called the global economic outlook “grim and more uncertain.”

K. Tovar

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Source: Diariobitcoin

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