That IMF (IMF) believes that crypto assets are no longer a niche.
The Washington, DC-based agency recently released a report Investigating the right rules to regulate crypto. Efforts to regulate outer space have moved to the top of the political agenda, according to the authors Aditya Narainthe IMF Deputy Director for Money and Capital Markets, and Marina Moretti, Deputy Director of the Money and Capital Markets Department of the IMF.
“This is partly because only in the last few years have crypto assets evolved from niche products looking for a purpose to a mainstream presence as speculative investments, hedges against weak currencies, and potential payment tools,” the report states .
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The crypto world is evolving rapidly, which makes regulation a challenge, they added.
“Regulators are struggling to acquire the talent and learn the skills to keep up in the face of scarce resources and many other priorities,” they said.
Additionally, monitoring the crypto markets has proven difficult given the patchy data and thousands of players not subject to typical disclosure requirements.
The IMF’s recognition that cryptocurrencies could provide a hedge against weaker currencies comes after the IMF Board members urged El Salvador drop Bitcoin BTC/USD as legal tender and warns that doing so could have dire consequences for the nation.
Price promotion: At press time, BTC is trading at $18,832, down 5.49% over the past 24 hours, according to data from Gasoline Pro.
