The International Monetary Fund (IMF) plans to “strengthen” the monitoring of digital currencies, according to A report by Reuters.This intention, as Publish In a paper from the IMF on Thursday, it detailed how the fund plans to “manage this profound and complex transformation” to achieve the transition to a digital economy.
“Rapid technological innovation is ushering in a new era of public and private digital currencies,” the report wrote, emphasizing the benefits of digital assets. “Payments will become easier, faster, cheaper, and more accessible, and will quickly cross national borders. These improvements can promote efficiency and inclusiveness, bringing significant benefits to all.”
However, this implementation will only happen if the IMF can “keep up with the pace of policy challenges”, which requires a more in-depth study of the prospects of the digital economy. The fund plans to cooperate with institutions that “fit with its responsibilities”, such as the central bank, regulators, and the World Bank, while expanding its own digital currency research.
As disclosed in a paper in April 2021, the IMF plans to add five groups of experts to properly conduct research. Their skills include lawyers, digital risk experts, financial sector experts, fiscal economists, and data experts. The paper stated that this set of skills should thoroughly cover research on the digital currency industry.
The fund will target central bank digital currency or CBDC, stable coins, encrypted assets, etc. It will study how these assets represent financial independence, how they act as reserve currencies, and how they can replace the current payment system.
Earlier this week, the IMF Issued a warning Regarding the recent Bitcoin law in El Salvador. Although it did not directly mention the country, it warned that “granting crypto assets legal tender status” may threaten the local economy, not to mention the time-consuming process of citizens “choosing which money to hold”.Instead, the International Monetary Fund recorded earlier this month Claim CBDC It can provide a “clean slate” for the global financial system.