The heads of the G20 nations are calling for rapid adoption of global cryptocurrency rules.
A report Sunday (Sept. 10) by Cointelegraph said this framework will allow for the exchange of information between countries starting in 2027.
“We call for the swift implementation of the Crypto-Asset Reporting Framework (CARF) and amendments to the CRS [Common Reporting Standard],” the leaders wrote in their consensus declaration as their two-day meeting in India wrapped up.
“We ask the Global Forum on Transparency and Exchange of Information for Tax Purposes to identify an appropriate and coordinated timeline to commence exchanges by relevant jurisdictions,” the statement said.
The report notes that several countries would be impacted by the framework, as two-thirds of the global population lives in a G20 country.
According to Cointelegraph, the leaders also gave their blessing to recommendations from the Financial Stability Board (FSB) for the “regulation, supervision and oversight of crypto-assets activities and markets and of global stablecoin arrangements,” the declaration said.
As PYMNTS reported in July, the FSB says its framework “provides a strong basis for ensuring that crypto-asset activities and so-called stablecoins are subject to consistent and comprehensive regulation, commensurate to the risks they pose, while supporting responsible innovations potentially brought by the technological change.”
The watchdog group’s regulations would require crypto platforms to segregate customer funds from their own assets and clearly outline functions to avoid conflict of interest, with regulators ensuring strong cross-border cooperation and oversight.
The proposals, and the G-20’s recommendations, come after a year of crypto sector upheaval: market downturns, regulatory battles featuring major players like Binance and Coinbase, and criminal proceedings against the founders of companies like Celsius and FTX.
Elsewhere in the digital currency space, PYMNTS wrote last week that a battleground is forming with central banks on one side and private issuers on the other.
As a result, stablecoins could face a fragmented landscape: adopted in some regions and facing restrictions elsewhere.
In a recent speech, European Central Bank (ECB) executive board member Fabio Panetta noted that “private closed-loop solutions are becoming increasingly prevalent” in payments, indicating at least some risk to traditional financial services models.
In Panetta’s telling of it, private payment service providers can and will look to gain payments “market share” as they expand their customer bases.