G20 presidency India for global framework on crypto risks
Finance Minister Nirmala Sitharaman said India’s G20 Presidency aims to develop a common framework for all countries to deal with risks associated with cryptocurrencies in the wake of the recent shocks witnessed in the crypto market.
Washington: Finance Minister Nirmala Sitharaman said India’s G20 Presidency aims to develop a common framework for all countries to deal with risks associated with cryptocurrencies in the wake of the recent shocks witnessed in the crypto market.
The last year’s episode of FTX’s bankruptcy and its spat with Binance triggered a huge sell-off in the market and reduced liquidity. This event made the world realise the vulnerability of this asset class as they do not have any underlying value.
“Cryptocurrencies are a very important part of the discussion under the #G20India presidency, given so many collapses and shocks in cryptocurrencies. We seek to develop a common framework for all countries to deal with this matter,” she said at a discussion in Peterson Institute for International Economics (PIIE) here.
She also said G20 is trying to bring together all countries to address debt distress in middle-income and low-income nations like Sri Lanka and Ghana. During the first G20 Finance Ministers and Central Bank Governors (FMCBG) meeting in February, it was agreed to strengthen multilateral coordination by official bilateral and private creditors to address the deteriorating debt situation and facilitate coordinated debt treatment for debt-distressed countries.
