By September, the BIS and IMF should publish a synthesis report on crypto asset regulation by September 2023, combining the macroeconomic and regulatory outlook.

The news came after the G20 Finance Ministers and Central Bank Governors meeting in India on Friday and Saturday. A joint statement outlined various actions by global standard-setting bodies, including regulating crypto assets, stablecoins, and more research into central bank digital currencies (CBDCs).

Regarding the Synthesis report, an IMF report was released last week covering crypto policy suggestions. Despite saying that an outright ban on cryptocurrencies should not be the first response, the document said that some IMF directors believe that a ban should be considered an option.

According to Reuters, this was reiterated over the weekend by IMF Managing Director Kristalina Georgieva, who said banning cryptocurrencies should be an option. By contrast, US Treasury Secretary Janet Yellen said the US has not suggested an outright ban, but wants a strong regulatory framework.

In addition to the BIS-IMF synthesis report, the BIS will present a report on analysis and conceptual issues and potential risk mitigation strategies for crypto assets. The agency has begun building its own data set to help monitor the sector. In January, the BIS outlined possible risk mitigation approaches for cryptocurrencies, which consist of banning them, isolating them from traditional finance (TradiFi), or regulating them in a manner similar to TradFi.

Meanwhile, the anti-money laundering body FATF is set to produce more work on the use of crypto for terrorist financing.

Stablecoins and CBDCs

Ahead of the G20 meeting, the Financial Stability Board said that most current stablecoins would not meet its upcoming final recommendations for global stablecoins. The G20 confirmed that those recommendations will be published in July 2023.

On the subject of CBDC, in July 2023, the BIS will publish a report on the main findings and lessons from its CBDC projects. He has been involved in numerous CBDC projects, including several for cross-border CBDCs with one of them, MBridge, gearing up for production.

In September, the IMF will report the macroeconomic impacts of the widespread adoption of CBDCs. He has already published several papers on a variety of CBDC topics.