International Monetary Fund (IMF) President Kristalina Georgieva, speaking at a conference in Seoul, South Korea, reiterated the significant risks that crypto-assets pose to financial stability and the need to develop rules and infrastructure to manage these risks.
The IMF President highlighted the macro-financial stability issues that could arise if crypto-assets become widespread, stating, “Also, crypto asset adoption is high, especially in emerging market economies like India, Nigeria, and Vietnam, the adoption could undermine macro-financial stability.”
“Our goal is to create a more efficient, interoperable and accessible financial system by providing infrastructure and rules and some technologies to avoid the risks of crypto.”
The President recalled events such as last year’s FTX founder being found guilty in a fraud case and most recently Binance founder admitting to money laundering charges. Georgieva noted that such events have not created a glowing reputation for the crypto industry in the last 15 years.