IMF exec board endorses crypto policy framework, including no crypto as legal tender

The Executive Board of the International Monetary Fund (IMF) has evaluated a paper on cryptocurrency policy published by the fund and expressed its agreement with the proposed policy framework. The paper, entitled “Elements of an Effective Policy for Crypto Assets,” evolved A framework of nine policy principles that address macrofinancial, legal and regulatory, and international cooperation issues.

The proposed principles were mostly very broad, emphasizing analysis, oversight and defense. The paper clearly states that the proposal should be taken up by a “director”. The first principle included specific injunctions that:

“Protect monetary sovereignty and stability by strengthening monetary policy frameworks, and do not give cryptocurrency status as official or legal tender.”

The Executive Committee expressed its agreement with the paper’s proposals and clearly endorsed the position of cryptocurrencies as legal tender, stating that members “broadly agreed” with it.the board too Repeated He stressed the principle of “same activity, same risk, same regulation” and that “the fund can serve as a thought leader for further analytical work on crypto assets.”

The paper was dated January 2023 and the Executive Committee met on February 8 to discuss it, but the paper and meeting were opened to the public on February 23.

RELATED: IMF Calls for Tighter Crypto Regulation in Africa as Industry Unfolds

The IMF is notoriously opposed to using cryptocurrencies as legal tender, especially since El Salvador adopted Bitcoin (BTC) as its official currency in September 2021. His latest statement regarding El Salvador was released on February 10th and shared with the crypto community. The fund is also encouraging the adoption of greater crypto regulation.

The IMF views central bank digital currencies more favorably than cryptocurrencies. Interoperable He announced in September that he was working on a CBDC platform.