Financial Stability Board Gifts Report on Framework for Tracking Crypto Markets

The FSB says that crypto-assets don’t present a material risk to global economic equilibrium at their current stage, although it sees the necessity for in-depth monitoring because of the accelerated maturation of the market. The frame includes metrics on the size and expansion of crypto markets, in addition to trading volumes, pricing, clearing, and margining to get crypto-asset derivatives. According to the FSB, these metrics are essential to understanding the potential dimensions of wealth effects in case valuations fall.

In May, the International Monetary Fund (IMF) stated in a report which cryptocurrencies “do not appear to pose risks to fiscal stability. ” At its Global Financial Stability Report, the agency promoted international cooperation on regulation, citing “…[cryptocurrencies] could [pose a risk] should their usage become more widespread without the appropriate safeguards. ”

According to the statement, the FSB has been working in cooperation with the Committee on Payments and Economy Infrastructures (CPMI) to develop a frame that the agency will utilize to oversee crypto-asset markets.

The report also contains a description of the task undertaken by standard-setting bodies. CPMI has allegedly completed substantial work on the use of blockchain engineering, while the International Organization of Securities Commissions (IOSCO) has created a first coin supplying (ICO) Consultation Network to examine experiences and issues in the ICO industry.