Global financial regulators are increasingly concerned by the rapid growth of the cryptocurrency market. The International Monetary Fund has just offered countries around the world a matrix for assessing the risks linked to cryptos on a national level. It was September 29. Details.
IMF shows countries how to assess crypto risks
Convinced of the potential of cryptocurrencies, the IMF wants to help countries assess their vulnerability to the risks linked to cryptocurrencies. The institution published on September 29 a document entitled “Assessment of macrofinancial risks linked to crypto-assets”.
In the document, she proposes a matrix called “ cryptocurrency risk assessment matrix » (C-RAM). The matrix is made up of three steps to identify crypto risks and implement appropriate policy responses.
The first step is to assess the macro-criticality of cryptos, that is to say their ability to influence the macro-economy. This macro-criticality is assessed using a decision tree proposed by the IMF.
The second step is to monitor the crypto sector as a whole on a national level. This monitoring is carried out using indicators similar to those used for monitoring the traditional financial sector. As for the third step, it consists of evaluating the impact that cryptos can have on the assessment of the systemic risk of countries that have adopted them.
The beginnings of a global campaign of cryptoscepticism?
Although the IMF is a respectable financial institution, there is no evidence that its “cryptocurrency risk assessment matrix” is objective. In this era of gradual merger between traditional finance and cryptofinance, this matrix is perhaps only intended to promote cryptoskepticism in countries.
Indeed, the IMF has never had a favorable position on cryptocurrencies. The institution had, on numerous occasions, invited El Salvador to reverse its decision regarding bitcoin, the queen of cryptos. She predicted that the adoption of bitcoin as legal tender in El Salvador would have disastrous consequences for the country’s financial system.
Yet all the IMF’s predictions for El Salvador have failed so far. We can see this IMF publication as a new attempt to slow down the adoption of cryptos globally. Perhaps also this is a step in a possible project to create global crypto regulations!
Receive a summary of the news in the world of cryptocurrencies by subscribing to our new service daily and weekly so you don’t miss anything of the Tremplin.io essentials!
