The international financial stability board FSB called for a global framework to regulate and monitor cryptocurrencies following the collapse of FTX and announced it would assess vulnerabilities related to DeFi.
In a meeting on Dec. 6 in the Swiss capital of Basel , the FSB said it plans to “improve its crypto-asset monitoring framework” to include “DeFi-specific vulnerability indicators” and the potential implications of DeFi becoming more closely associated the traditional financial markets into account. The panel says that turmoil in the crypto market such as the collapse of FTX would currently pose limited risks, which are increasing given the “increasing interdependencies of crypto companies with key financial markets and institutions.”
"Crypto trading platforms that combine multiple activities that are typically kept separate in traditional finance can lead to concentrations of risk, conflicts of interest and misuse of client funds," the FSB said. "The FSB stressed the importance of continued vigilance and the urgency of advancing the policy work program of the FSB and standard-setting bodies to establish a global framework for regulation and oversight, including in non-FSB member countries."
The FSB has previously proposed a comprehensive framework for crypto that aims to address potential risks while “realizing the potential benefits of the technology.” The public has until December 15 to comment on the group's recommendations regarding stablecoins.
The FSB was established at a G20 summit in 2009. Members are institutions such as financial regulators, central banks and finance ministries from more than 20 countries. While the body can make recommendations to policymakers around the world, it functions largely as an advisory body with no enforcement powers.
My Top Picks
Honeygain - Passive earner that pays in BTC or PayPal
MandalaExchange -The Best no KYC crypto Exchange!
Womplay - Mobile dApp gaming platform that rewards in EOS and Bitcoin
Cointiply - The #1 Crypto Earning SiteLiteCoinPay -
The #1 FaucetPay earner for LitecoinLBRY/Odysee - YouTube Alternative that lets you earn Money by viewing videos!FaucetPay - The #1 Microwallet PlatformFREEBTC - The #1 FaucetPay earner for Satoshi'sFireFaucet - An earning site that pays better for some than Cointiply
Comments
Post a Comment