Benoît Cœuré says that the regulatory authorities will probably agree on a crypto framework in 2022

"But now that it really grows very quickly and..

Cœuré said that the new "wake-up call" was a decentralized financial system-a rapidly growing corner of the cryptocurrency market, the distributed Ledger technology and so-called "intelligent contracts" uses transactions worth billions of dollars without a central hub like an exchange.

decentralized finance, or defi, as it is known, "opens up.

"These [New] services will compete with traditional financing, and money will flow from a universe to another. This creates a compelling reason to start a discussion about global principles of cryptor regulation."

The pace at which the regulations in the individual legal orders develop also increases the urgency to create a global framework. "The risk in 2022 is that large jurisdictions [Like] Europe, Great Britain, the USA and China continue to move, but in other ways and produce a system that is globally inconsistent," said Cœuré.

"This is a risk that should be avoided, and there is still time to avoid it," he added, pointing out that different approaches would create the possibility of "regulatory arbitrage", in which companies and individuals could search for authorities by selecting the most beneficial places for their business.

Cœuré said that the Financial Stability Board, a global group of finance ministries and regulatory authorities who are hosted by the BIZ, be the most natural forum to reconcile a uniform framework, and that it was possible for them to do this in 2022, however, warned that "we are probably still at least two or three years away from having a stable landscape worldwide, since it will take some time until the countries will take some time. grasp.

he added that the crypto framework could include agreements on categories for various activities and the decision whether a stable coin-a form of cryptocurrency that is covered by traditional assets such as the dollar-is electronic money, money market funds or a securities. It should also contain guidelines so that "service providers in these ecosystems and platforms are regulated in accordance with the services they provide".

cœuré favored "strict consumer protection rules" and "personally nothing against if pension funds were prohibited investments in cryptocurrencies..

Nevertheless, he admitted that despite the strong arguments for global cooperation, the approaches of different countries to data protection would restrict the scope for a global framework, as well as to share details about the technology used in their ecosystems, since the technology used in the financial sector often overlaps with the technology that is used for other strategic purposes.

"The final decisions will become sovereign states. "This is not new, it is just.. These balances are shifted because technology is so important. The new risk is that governments are establishing technological fences that lead to a fragmentation of the global financial system."

He also said that the political decision -makers are increasingly aware that the digital central bank currency "should not be treated as a separate discussion" or should remain in the separate trace in which it has developed. "We see how the discussion is about.. In the direction of CBDC (digital central bank currency).

"You need central bank money as a safe goods that can be used as a handling balance to make the new system stable.. It is not about CBDC the sovereign alternative to private money, but rather that CBDC is the adhesive that holds the system together."