G20 countries want to develop a unified crypto policy

The regulation of the crypto industry is currently at the heart of the debates. In recent weeks, in fact, several finance specialists and many leaders have called for tighter control of the activities of this sector. A way for states to intervene in an ecosystem that until now has been the preserve of a few investors.

Regulations specific to G20 countries

Sunday February 12, Nirmala Sitharaman, India’s finance minister announcedduring a media release, that the Group of Twenty (G20), of which his country is a member, is studying and discussing the possibilities for implementing regulations on the crypto industry.

According to the Indian silversmith, this choice is motivated by the ” need “ to take into account the economic change implied by cryptos. The latter operate, in fact, outside of any direct government intervention.

A project that the G20 is currently exploring

The goal of the G20 states is therefore to adopt a general standard for cryptos that has the value of law for them. A harmonized text, which would not only commit them, but would especially impose itself on crypto companies intervening or wishing to intervene on their territory.

“We are discussing with all countries whether we can establish a standard operating procedure followed by all. This, in order to create a regulatory framework, and if it can be effective”, said the minister.

What would be the consequences of this project on a global scale?

The G20 project confirms the recent regulatory desires demanded by many players in the crypto market, since the fall of FTX. But does it go beyond that? We can answer in the affirmative if we take into account what could be at stake from an economic point of view.

You should know that the Group of Twenty includes 20 of the best performing economies in the world.

In terms of numbers, the G20 is about 85% of world GDP, more than 75% of world trade and about two-thirds of the world’s population. A set that could integrate countries with strong economic growth such as Nigeria, the United Arab Emirates or Singapore.

This being so, we can conclude that if measures on cryptos are adopted by the G20, they will undoubtedly represent the beginnings of a planetary regulation on the industry. The remaining states will probably have no choice but to follow the movement despite their reluctance.

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