9 Oct, 2019

G20 Summit To Discuss Cryptocurrencies, AML Regulations

One of the most noteworthy signs that cryptocurrencies are a part of the global conversations is when global summits start taking it seriously. Japanese media reports opine that at the G20 summit which will be held this year in Japan will put forward international regulations pertaining to cryptocurrencies and anti-money laundering (AML) laws.

The summit which is expected to be held on June 28 and 29 this year will talk about definitive regulations. However, this meeting will focus chiefly on AML and anti-terrorism funding. A report stated that while cryptocurrencies operate on high levels of secrecy, the summit will also discuss how North Korean hackers have been targeting exchanges and how to stop it from escaping sanctions that have been imposed on them.

Cryptocurrencies and their regulations have been a part of G20 conversations since a while. Last year, Crypto-News India had reported that the nations had decided that it would be better to classify them as assets, as opposed to securities or currency, when G20 summit was held in Argentina.

At the time, an official statement had said, “We acknowledge that technological innovation, including that underlying crypto-assets, has the potential to improve the efficiency and inclusiveness of the financial system and the economy more broadly. Cryptoassets do, however, raise issues with respect to consumer and investor protection, market integrity, tax evasion, money laundering and terrorist financing. Crypto-assets lack the key attributes of sovereign currencies. At some point they could have financial stability implications. We commit to implement the FATF standards as they apply to crypto-assets, look forward to the FATF review of those standards, and call on the FATF to advance global implementation. We call on international standard-setting bodies (SSBs) to continue their monitoring of crypto-assets and their risks, according to their mandates, and assess multilateral responses as needed.”

While this is fantastic, let us hope something concrete comes out of the summit so that there is a certain discipline in tackling issues.