This year, at this very moment in time the G20 Summit is taking place in Argentina. The G20 are a group of twenty authorities composed of various governments and central banks from across the world. Overall, G20 does represent more than 20 countries (given that the European Union is considered as one sole G20 member). The summit, takes place each year and is designed to act as a forum for the facilitation of economic discussion. Within this, the summit will see groups discuss economics, finance, regulation and governmental policy and how all of the above the affect the global economy.
According to reports from the summit, the G20 have discussed the emergence of cryptocurrency and thus believe that overall, crypto is in a great position to offer ‘significant benefits’ to the global economy.
The full report from the G20 Summit can be found, here.
According to Section 10 of this report:
“Technological innovations, including those underlying crypto-assets, can deliver significant benefits to the financial system and broader economy. Crypto-assets do, however, raise issues with respect to consumer and investor protection, market integrity, tax evasion, money laundering and terrorist financing.”
“Crypto-assets lack the key attributes of sovereign currencies. Whilst crypto-assets do not at this point pose a global financial stability risk, we remain vigilant. We welcome updates provided by the FSB and SSBs and look forward to their further work to monitor the potential risks of crypto-assets, and to assess the multilateral responses as needed. We reiterate our March commitments related to the implementation of the FATF standards and we ask the FATF to clarify in october 2018 how its standards apply to crypto-assets.”
Within this, the G20 are recognising an inherent advantage to cryptocurrencies but moreover, they recognise the current challenges that are faced by investors and crypto-adoptees on a daily basis. It is important the the G20 are at least exploring cryptocurrencies as they represent the most powerful central banks in the world. Overall, if a group of people have the capacity to roll out a cryptocurrency adoption programme then the G20 are that group. By remaining positive, the G20 seem to understand that they have the ability to clean up the industry in time for worldwide adoption and therefore, it is great that they are exploring the ideas of cryptocurrencies even at this early stage.
As this summit continues, it could have great implications for the future of crypto.