G20 Adopts Comprehensive Crypto Oversight Framework

The Group of Twenty (G20), an intergovernmental forum comprised of 19 sovereign nations, the European Union, and the African Union, unanimously adopted the “G20 Finance Ministers and Central Bank Governors Communique” at its meeting in Marrakech, Morocco, on October 13.

G20 members accepted the crypto regulatory road map proposed in a September report titled “IMF-FSB Synthesis Paper: Policies for Crypto-Assets” by the International Monetary Fund (IMF) and the Financial Stability Board (FSB). The G20 states:

“We call for swift and coordinated implementation of the G20 Roadmap, including implementation of policy frameworks; outreach beyond G20 jurisdictions; global coordination, cooperation and information sharing; and addressing data gaps.”

Instead of a blanket ban, the IMF-FSB paper advocates for comprehensive oversight of cryptocurrencies.

Recommendations at the highest level include cross-border cooperation and information sharing between regulators, a demand for comprehensive governance and risk management frameworks for crypto companies, and a guarantee of access to relevant data companies provide to authorities.

According to the paper, the first review of the implementation status of the proposed measures should occur by the end of 2025.

In October, the IMF released a second working paper titled “Assessing the Macrofinancial Risks of Crypto Assets.”

Within it, researchers from the IMF propose a crypto-risk assessment matrix (C-RAM) for countries to identify indicators and triggers of potential risks in the sector.

Recently, global regulators have called for a worldwide crypto framework. The governor of Banco de Portugal, Mário Centeno, urged international cooperation to establish a “robust framework” and prevent regulatory arbitrage.

Similar sentiments were expressed by the executive director of strategy, policy, and control at the German Federal Financial Supervisory Authority in response to a question regarding global inconsistencies.