The G20 mentioned crypto regulation in its recent declaration on sustainable development adopted in Argentina. The declaration was published on the official website of the Council of the European Union and the European Council Dec. 1.
At a meeting in Buenos Aires on Nov. 30 and Dec. 1, G20 officials reiterated their concerns about the crypto industry along with its overall agenda regarding the future of work and infrastructure for development.
The declaration entitled “Building consensus for fair and sustainable development” regards cryptocurrencies as an important part of an “open and resilient financial system” that “is crucial to support sustainable growth.”
While recognizing the importance of the cryptocurrency industry for the global economy, the G20 noted that it will introduce anti-money laundering (AML) and anti-terrorist financing measures per Financial Action Task Force (FATF) standards.
G20 participants also expressed a positive stance on non-bank financial institutions, pointing out the potential advantages of technology in the financial sector provided that the tech disruptors are managing associated risks:
“We look forward to continued progress on achieving resilient non-bank financial intermediation. We will step up efforts to ensure that the potential benefits of technology in the financial sector can be realized while risks are mitigated.”
G20 officials have previously expressed a “soft” stance on crypto, stating that they will continue a “hands-off approach” towards crypto regulation. In July, a summary of interim decisions made by the dedicated Finance Ministers & Central Bank Governors said that “technological innovations, including those underlying cryptoassets, can deliver significant benefits to the financial system and the broader economy.” However, the document noted:
“Crypto-assets do, however, raise issues with respect to consumer and investor protection, market integrity, tax evasion, money laundering and terrorist financing.”
As reported yesterday, G20 leaders have urged the global community to develop taxes on cryptocurrencies, calling for “a taxation system for cross-border electronic payment services.”