Global market regulators may form a joint body next year to better coordinate cryptocurrency regulation, an executive at the International Organization of Securities Commissions (IOSCO) said.
A global body for coordinating encryption rules
Executives from the International Organization of Securities Commissions (IOSCO) discussed cryptocurrency regulation this week. Members of this global organization oversee more than 95 percent of the world’s securities markets in more than 130 jurisdictions.
Emphasizing the need for a global group to adjust cryptocurrency rules, IOSCO Chairman Ashley Alder said global market regulators may form a joint body next year to better harmonize cryptocurrency regulations, according to Reuters.
Noting that similar climate finance mechanisms are already in place, including those established by G20 countries, Alder described:
There is no cryptocurrency like that at the moment…but I do think it’s now seen as one of the three C’s (Covid, climate and cryptocurrency) so it’s very, very important.
Citing the boom in digital currencies, including bitcoin, the IOSCO chairman said cryptocurrencies are “on the agenda” and are one of three key areas of concern for the authorities.
She noted that there are multiple crypto-related risks that need to be addressed, adding that regulators are lagging in a number of key risk areas, including cybersecurity, operational resilience, and a lack of transparency in the crypto ecosystem.
IOSC Secretary General Martin Moloney said this week at the International Swaps and Derivatives Association Annual General Meeting:
We are on the cusp of something new, something important, and something that requires a lot of work from us.
He believes: “I don’t have to have a crystal ball to say, ‘Will cryptocurrencies still be around in 20 years?’ That’s okay. As you can see, I do know that it’s fully developed and we have to start taking action, just It’s as if it’s still around 20 years later. We have to take it seriously.”
The secretary-general urged the cryptocurrency industry to cooperate with regulators, stating:
Use your ingenuity, use your technology to solve regulatory problems, instead of telling us to walk away, you don’t want to be involved in regulatory problems.
What do you think of global regulators forming a global body to harmonize crypto rules? Let us know in the comments section below.
Image Source: Shutterstock, Pixabay, Wiki Commons
Disclaimer: This article is for reference only. It is not a direct offer or an invitation to buy or sell, nor is it a recommendation or endorsement of any product, service or company. Bitcoin Network Does not provide investment, tax, legal or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned herein.