The International Monetary Fund (IMF) has stated that the growth of cryptocurrencies does not threaten global financial stability while noting that the recent sell-off has slowed down any concerns.
Indeed, the IMF suggested that significant concern for the financial system stems from factors like the possibility of a recession and high inflation, which has accelerated by occurrences like the Covid-19 lockdown and the outcome of Russia’s invasion of Ukraine, CoinDesk пријавени на јули 26.
In a report, the agency noted that the cryptocurrency market with assets like Bitcoin that are delinked from conventional banks, should not be cause for concern.
Contradicting stand on crypto threat
The IMF’s latest stand on crypto contradicts a report by the Европски одбор за системски ризици that warned that the rising popularity of crypto poses significant risks to the general financial market
According to the IMF, the market correction in cryptocurrencies is limited and has not impacted the general finance sector.
Recently, the correction has plunged some businesses into bankruptcy, with lending platform Celsius leading the way. The crypto market meltdown has been driven by factors like regulatory uncertainty, the high inflationary environment, and the Terra (LUNA) пад на екосистемот.
Notably, the IMF has since maintained a hard stance on cryptocurrencies warning countries against adopting digital currencies.
IMF changing view on cryptocurrencies
However, the body has recently appeared to change its view of cryptocurrencies. As пријавени by Finbold, the IMF noted that digital assets could be an effective alternative to traditional finance products.
Most specifically, the institution pointed out that select cryptocurrencies and central bank digital currencies (CBDC) can be a more effective payment solution than credit and debit cards.
„Во зависност од специфичните детали за тоа како се конфигурирани, CBDC и некои видови крипто средства може да бидат енергетски поефикасни од голем дел од тековниот пејзаж за плаќање, вклучително и кредитни и дебитни картички“, велат од ММФ.
Finally, in the past, IMF chief economist Gita Gopinath had expressed opposition to a blanket ban on cryptocurrencies but called for regulation of the sector.
Source: https://finbold.com/imf-rules-out-crypto-market-threat-to-broader-financial-sector-stability/