G20 weighs in on cryptocurrency regulation, India’s finance minister reports


Feb 11 (Reuters) – The Group of 20 (G20) major economies are considering whether collective regulation of cryptocurrencies is necessary, according to Finance Minister Nirmala Sitharaman on Saturday.

Given the complex technologies associated with these digital assets, countries must discuss whether a unified regulation is desirable, said Sitharaman, whose country is this year’s G20 president.

Prime Minister Narendra Modi’s government has been debating for years whether to create a law that governs or prohibits cryptocurrencies, but no decision has been made.

“We are talking to all nations, that if it necessitates regulation, then one country alone cannot do anything,” Sitharaman told reporters following her meeting with the central bank’s directors in New Delhi.

“We are in touch with all countries to see if there is a common method that can be adopted by all G20 nations.”

This month, India is hosting meetings of G20 finance ministers and central bank governors. Last year, Prime Minister Modi expressed the need for a collective global action to address the issues posed by digital currencies. The Reserve Bank of India (RBI) has stated that cryptocurrencies are akin to a Ponzi scheme, and should be entirely prohibited.

The finance minister of India has stated that the G20 is currently exploring the possibilities of introducing a regulatory framework for digital currencies, to see if it can be effective. He believes that a unified effort from all nations is required to make this work.

By Nikunj Ohri. Edited by William Mallard.
Our Standards: The Thomson Reuters Trust Principles.

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