G20 is Creating a Global Framework for Crypto, Indian FM Says
- The G20 nations are working on establishing the much-awaited global framework for cryptocurrencies.
- Indian Finance Minister Nirmala Sitharaman confirmed the forum’s efforts during the Global Fintech Fest.
- She noted that crypto was a “threat as well as an opportunity” and stated that “global cooperation is absolutely critical.”
- In the past, Indian Prime Minister Narendra Modi has called for global collaboration for crypto regulation.
The prominent intergovernmental forum G20 is working to create a global framework for cryptocurrencies, as per a statement provided by the Finance Minister of India, Nirmala Sitharaman. Interestingly, India is home to some of the highest number of active crypto wallets around the world, but it also has a very high tax rate.
As per a statement given by Sitharam during the Global Fintech Fest on September 5, the G20 nations, which include 19 countries and the European Union, are currently working on establishing a global structure for crypto firms to follow.
Additionally, in the past, Indian Prime Minister Narendra Modi has called for global collaboration for crypto regulation. He said that technologies like blockchain and digital assets impact the entire world, and therefore, global participation is needed to regulate the industry.
The Indian finance minister noted that crypto was a “threat as well as an opportunity” and stated that “global cooperation is absolutely critical” in order to create a responsible financial ecosystem that can effectively help regulate cryptocurrencies worldwide.
“In an interconnected world, financial technology transcends broders, therefore, making cross-border partnerships absolutely crucial,” Sitharaman noted.
Interestingly, India took over the G20 presidency in Q4 2022, and since then, the country has several times highlighted the need for global collaboration when it comes to financial security and stability. Sitharaman has confirmed that the coalition of nations is currently working on the much-awaited cryptocurrency regulations.
“India’s (G20) presidency has laid out issues related to regulating or understanding that there should be a framework for handling issues related to crypto assets. Active discussions are happening; content-rich papers from institutions like the IMF, FSB, and OECD are all being discussed on various issues,” Sitharaman said.
Moreover, Sitharaman also added that the International Monetary Fund (IMF) and the Financial Stability Board (FSB) have submitted their synthesis papers on cryptocurrency.
As reported earlier by BitcoinWisdom, the IMF believes that a total ban on cryptocurrencies should be considered if they continue to pose risks to the economy, while the FSB called for collaboration between different regulators globally to regulate crypto while warning that a lack of strict policies governing the crypto industry could have serious financial consequences.
A crypto journalist with over 3 years of experience in DeFi, NFT, metaverse, etc. Parth has worked with major media outlets in the crypto and finance world and has gained experience and expertise in crypto culture after surviving bear and bull markets over the years.
