Hot on the heels of the Crypto Crash of 2022, (likely brought on by the algorithmic stable coin system of Terra losing its peg to the US dollar), we see regulators already discussing the need for global regulation of crypto currency.
The likely outcome is a new regulatory working group composed of financial leaders from the major economies that will work together to establish common guidelines and synchronize essential aspects of the regulations that govern crypto currencies in their respective countries.
To give you an idea just how important an issue this is, authorities say this is equal to COVID and Climate Change.
“But I do think now it’s seen as one of the three C’s (COVID, climate and crypto) so it’s very, very important. It has gone up the agenda, so I would not expect that to be the case the same time next year.”
Ashley Alder, chair of the International Organization of Securities Commissions (IOSCO)
While speaking at an online meeting for the OMFIF, Alder, who is also CEO of Hong Kong’s Securities and Futures Commission, followed up and said:
“If you look at the risks we need to address, they are multiple and there is a wall of worry about this (crypto) in the conversations at an institutional level,”
Ashley Alder