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G20 adopts crypto assets roadmap at FMCBG meeting in Morocco

The IMF-FSB paper rejects a crypto ban and proposes comprehensive oversight to maintain monetary stability

Shashank Bhardwaj
Published: Oct 17, 2023 06:16:13 PM IST

G20 adopts crypto assets roadmap at FMCBG meeting in MoroccoA meeting of the finance ministers and central bank heads of the G20 countries at the IMF/World Bank meeting. Image: Christophe Gateau/picture alliance via Getty Images

On October 13, the G20 Finance Ministers and Central Bank Governors (FMCBG) held a meeting in Marrakech, Morocco, under the Indian Presidency, where they adopted a roadmap for regulating crypto assets. This adoption could impact cryptos such as Maker (MKR) and VC Spectra (SPCT).

At the request of the Indian G20 presidency, the Financial Stability Board (FSB) and the International Monetary Fund (IMF) proposed the G20 Roadmap on Crypto Assets in the IMF-FSB Synthesis Paper. The leaders earlier welcomed the IMF-FSB Synthesis Paper in the G20 New Delhi Declaration.

The paper recommends comprehensive oversight of crypto instead of a blanket ban. It also recommends preserving monetary sovereignty and stability when dealing with Virtual Digital Asset (VDA).

It offered an action-oriented set of policy and regulatory recommendations to identify and address the macroeconomic and financial stability risks associated with crypto assets.
The FMCBG called 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. They requested the IMF and FSB to provide regular updates regarding the implementation of the G20 Roadmap on Crypto Assets.

IMF-FSB recommendations could impact MKR and SPCT cryptocurrencies.

The Maker MKR crypto witnessed a 46.2% surge in its price in recent weeks, going from $1,075 to $1,572. Multiple new developments in the Maker ecosystem drove this surge, including integrating Maker's Spark Protocol with Summer.fi, a decentralised finance (DeFi) lending platform. However, the Maker MKR price experienced a recent pullback, and some analysts predict it to rise above $1,500 again after the G20 summit.

VC Spectra (SPCT) is currently in the public presale phase of its token. The profits generated by VC Spectra are unlikely to be impacted by the G20 meeting, as they are earned before SPCT is listed on public exchanges.

The impact of the G20 roadmap on cryptos is likely to be mixed. It will depend on several factors, including the specific regulations that are implemented and how they are enforced. However, the roadmap has the potential to impact the entire crypto industry significantly.

The writer is the founder at yMedia. He ventured into crypto in 2013 and is an ETH maximalist. Twitter: @bhardwajshash

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