Crypto Issue Need Immediate Attention, Globally Coordinated Policy Response: FM Sitharaman

Finance Minister Nirmala Sitharaman said that a synthesis paper is also required which would integrate macroeconomic and regulatory perspectives of crypto assets. 

Finance Minister Nirmala Sitharaman speaks in crypto issue in US ( Image Source :PTI )

Union Finance Minister Nirmala Sitharaman on Friday said that the crypto issue requires immediate attention and a response from the G20 has to ensure that they do not lose any potential benefits while protecting economies from harm. As per a report by news agency PTI, Sitharaman was part of a brainstorming session on "Macrofinancial Implications of Crypto Assets" with G20 finance ministers and central bank governors at International Monetary Fund headquarters in Washington. 

The Union minister also said that there was a consensus among the members of the G20 to have a globally coordinated policy response on crypto assets that takes into consideration the full range of risks, including those specific to emerging markets and developing economies, the report added. 

Crypto-related issues have emerged as a major point of discussion among G20 countries with a unanimity among member nations about the urgency to regulate this sector. The brainstorming session was attended by global experts on this issue 

During the session, Sitharaman in her remarks said that the G20 acknowledges the work of the International Monetary Fund (IMF) and the Financial Stability Board (FSB) in bringing out key elements of policy and regulatory framework.

She also said that a synthesis paper is also required which would integrate macroeconomic and regulatory perspectives of crypto assets. 

During the session, Sitharaman said that India saw “record opening of 462.5 million low-cost bank accounts with 56% account holders being women.”

“Our DPI based direct benefits transfer system has aided about 650 mn people who received $322 bn directly into their accounts, which have led to overall savings of more than $ 27 bn just across key central government schemes,” she said. 

The Union minister said that through e-KYC of Aadhaar, the cost of verification has been brought down "leading to savings in costs for customer acquisition from Rs 500–700 ($6-9) per person to Rs 3 (0.4 cent)."