The IMF is Against Banning Crypto
The International Monetary Fund (IMF) is planning on introducing tokens pegged to national currencies, in order to create a global platform for central bank digital currency (CBDC) transactions.
This platform is expected to modernize the international payment infrastructure and reduce costs when sending funds.
Kristalina Georgieva, head of the IMF, highlighted the growing interest in CBDCs on every continent, citing the number of countries exploring and testing its potential.
The IMF also spoke out against the banning of cryptocurrencies such as Bitcoin and Ether.
According to their study, countries have been citing associated risks as a reason for banning them, however the IMF insists this approach may prove inefficient in the long term.
Latin America countries such as Brazil, Argentina, Ecuador and Colombia are leading with the adoption of digital currencies.
The US, on the other hand, has taken an opposing stance, with authorities threatening to implement tight regulation to suppress the industry. The IMF is encouraging the US to legalize the industry and develop a regulatory framework that will not hinder its growth.
