FSB and IMF: "Crypto Can't be Banned!"

The Financial Stability Board (FSB) and the IMF have recently published a report entitled “IMF-FSB Synthesis Paper: Policies for Crypto-Assets” outlining a comprehensive policy and regulatory response to cryptoasset activity.

The report found that a comprehensive policy and regulatory response is necessary “to address the risks of crypto-assets to macroeconomic and financial stability”. To address macroeconomic risks, the agencies further state, jurisdictions should “safeguard monetary sovereignty and strengthen monetary policy frameworks, guard against excessive capital flow and adopt unambiguous tax treatment of crypto-assets”.

At the same time, in their report, the think tanks state that a complete ban on crypto will not work and may even harm the traditional economy.

The report summarizes the policy recommendations and standards of the IMF and FSB, and illustrates the macroeconomic and financial implications of cryptoasset activity in terms of the stability of global finance.