The G20 board responsible for financial regulation, has announced plans to implement a framework designed to assess the risks associated with cryptocurrencies.
In particular, the Financial Stability Board (FSB) will track the impact of cryptology on the traditional financial system. Special metrics will help to identify the risks associated with protecting consumers and investors, financial stability and market integrity.
The Financial Stability Board (FSB) has developed their methods for estimating the volatility of prices of digital assets, including gold, currencies and securities alongside the size and growth rate of the ICO market. Periodically, FSB will compose characteristic reports based on their observations. Thus, the board is likely to raise confidence in the cryptocurrency market.
WHY IS IT IMPORTANT?
1. FSB is confident that monitoring volume and growth rates of the cryptocurrency market is critical to gaining an understanding on the possible size of its effects while evaluating them.
2. Monitoring will be introduced to eliminate threats to the market in the future. However, the board is confident that at the moment cryptocurrencies do not represent any danger to the stability of the financial market.
By Ekaterina Ulyanova