Global Commission of Banking Regulators to draft crypto-asset rules by the end of the year (Photo: Alesia Kozik/Pexels)
The Basel Committee’s watchdog said Tuesday that the global Basel Committee of Banking Regulators will complete work on strict rules on how banks allocate capital to cover crypto assets in their accounting records.
The commission, made up of bank regulators from the world’s leading financial centers, has proposed punitive fees for “unbacked” crypto assets such as bitcoin.
“With regard to crypto assets, members reiterated the importance of designing a robust regulatory framework for banks’ exposure to crypto assets that promotes responsible innovation while preserving financial stability,” the Group of Central Bank Governors and Chiefs of Supervision said in a statement.
The group also urged member states to quickly and fully unanimously implement the final phase of Basel III, the strictest capital requirements put in place in response to the global financial crisis more than a decade ago.
She added that more than two-thirds of member states plan to fully implement Basel III by 2024.
The European Union and the United Kingdom, both members of Basel, have said they aim to implement the remaining rules by early 2025, with the European bloc proposing several changes.
Emily Brontë is a journalist and feature writer specialising in culture, entertainment, literature, and current affairs. She is dedicated to producing clear, accurate reporting that helps readers stay informed about developments in the UK and around the world.
