Crypto

G20 Nations to Create a Unified Framework Against Crypto-Related Risks

  • The G20 nations will work towards a unified approach to controlling crypto-related risks.
  • Under India’s presidency, the G20 has focused on addressing key economic concerns affecting developing nations.
  • The G20 has only seven months to develop its broad plan as India’s tenure comes to an end in November.

The G20, a group of governments made up of 19 nations alongside the EU, intends to create a standard framework to assist all nations in managing the risks connected with crypto investments. Under India’s presidency, Nirmala Sitharaman, India’s finance minister, advocated for unified global crypto regulations. Sitharaman believes that fragmented regulations won’t help address the global reach of cryptocurrencies, as many ecosystem failures have an impact on investors globally.

Speaking in Washington, DC, at the Peterson Institute for International Economics, she emphasized the various cryptocurrency failures while highlighting the necessity of collaboration from all jurisdictions. She said,

Cryptocurrencies are a very important part of the discussion under the #G20India presidency, given so many collapses and shocks in cryptocurrencies. We seek to develop a common framework for all countries to deal with this matter.

Sitharaman also revealed the G20’s objective to unite the world’s economy to address debt distress and hyperinflation in developing nations like Sri Lanka and Ghana. She said, 

In G20, there is an opportunity for India to bring all countries together to address debt distress in middle-income and low-income countries. Multilateral institutions are coming up with resolutions for debt-laden countries in 3 to 5 years’ time.

India’s Push for Economic Solutions

Under its G20 presidency, India has been pushing for solutions to the worsening debt vulnerabilities that poor countries are facing. This situation is primarily caused by the current geopolitical conflicts and the pandemic.

If ignored, it is believed that emerging countries‘ growing debt vulnerability may lead to a worldwide recession and plunge millions into deep poverty.

The G20 has about seven months to develop broad crypto reforms that will be applied in all regions as India’s G20 presidency will end in November. 

Lawrence Woriji Verified

Lawrence has covered some exciting stories in his career as a journalist, he finds blockchain-related stories very intriguing. He believes Web3 will change the world and wants everyone to be a part of it.

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