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

A push by Group of 20 (G20) president India to manage cryptocurrencies gained help 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 reminiscent of bitcoin, and the finance ministry mentioned it had held a seminar for G20 member states to debate the right way 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 “essential” to place in place a powerful regulatory framework however added that the United States had not advised any outright bans.

“We have not advised outright banning of crypto actions, however it’s essential to place in place a powerful regulatory framework,” Yellen mentioned. “We’re working with different governments.”

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

Indian Prime Minister Narendra Modi’s authorities has for a number of years debated drafting a legislation to manage and even ban cryptocurrencies however has not made a last determination. The Reserve Bank of India has mentioned that cryptocurrencies ought 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 to not give cryptocurrencies authorized tender standing.

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

© Thomson Reuters 2023