There are few institutes that have such a big mark on the world be able to printing as the International Monetary Fund (IMF). You may not see that influence just like that, but he is indeed there. The institute has long had a slight aversion to crypto. This opinion has not yet changed.
IMF helps with crypto regulation
In a press release writes the institute that it internally conducts the research Elements of Effective Policies for Crypto Assets of the IMF itself. It contains nine guidelines for countries that are members of the IMF for regulating the crypto market.
For example, countries are advised to protect themselves against the risks that digital assets can pose to the financial system. Crypto should not be given legal tender status, according to the study. Legal tender means that something has a legal status as money. In many cases, this means that you cannot refuse the asset if it is offered to you as payment.
It is also striking that the IMF does not write ‘cryptocurrencies’ anywhere. Instead, they are “crypto-assets,” confirming that it has absolutely nothing to do with the concept of crypto as an official currency. The policymaker states that after this discussion, most IMF board members still believe that cryptocurrencies should not become a legal tender.
Total ban on crypto not off the table
At the same time, it is encouraging the crypto market by saying that the cryptocurrencies should have legal clarity. That means it doesn’t necessarily want to regulate the market away. The intended barriers should instead limit the risks of crypto assets. The IMF also believes that the underlying technology is certainly useful – blockchain in other words.
Still, some board members say a complete ban should not be ruled out. Crypto could still pose a risk to the financial world due to its interconnectedness and growing adoption.
The IMF does more in the world than just regulate the financial world and monitor the global economy. For example, it can help countries financially if they come into need, as it did with Greece did in the credit crisis since 2010.
