IMF Urges African Countries to Tighten Crypto Regulation Bank Photo Collection
Main page News, Regulations, Cryptocurrency
Hot topic
Nov. 25, 2022

The International Monetary Fund (IMF) has recently called on African governments to implement measures aimed at tightening regulation of the digital asset sector in order to provide better protection for consumers.

The organization's economists have justified their request by alluding to the collapse of FTX and the subsequent fall in the price of cryptocurrencies.

Subscribe to our Telegram channel to get daily short digests about events that shape the crypto world

According to them, a balance is needed between minimizing the risks "that have become evident" and maximizing innovation. IMF experts have warned the adoption of digital assets as legal tender would jeopardize public finances.

The paper states cryptocurrencies can also be used to transfer funds illegally and violate rules regarding the regulation of capital flows.

They believe the widespread use of digital assets also threatens to undermine the effectiveness of monetary policy, posing risks to financial and macroeconomic stability.

Read also:
Please describe the error