Stablecoin Issuers, Conglomerates Targeted by IMF After Crypto's 'Rough Year'

04/12 01:29

According to Coindesk, a "rough year" for crypto markets has underlined the need for comprehensive and consistent regulation of the sector, the International Monetary Fund (IMF) has said, suggesting stablecoin issuers and crypto conglomerates need to have bank-style capital requirements. In its "Global Financial Stability Report" published Tuesday, the IMF joins the standard setters at the Financial Stability Board in calling for consistent international regulation of the cryptocurrency sector after a year that has seen a number of collapses of major exchanges and crypto-linked banks. “The collapse of multiple entities in the crypto asset ecosystem has again made the call more urgent for comprehensive and consistent regulation and adequate supervision” focused on protecting consumers and corporate governance, the report said. The report added that regulations should cover crypto storage, transfer, exchange and custody of reserves, with extra prudential requirements for those carrying out multiple functions and for the issuers of stablecoins – tokens that seek to maintain their value versus fiat currencies.
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