It’s imperative that G-20 leaders take pivotal action towards a multilateral cryptocurrency regulatory structure at summit getting under way in Osaka, Japan, on Friday.
Failure to do this would be negligent and irresponsible.
As Japan prepares to host its first ever G-20 summit, political leaders, finance ministers, representatives from central banks and others gathering in Osaka need to take decisive action in regard to cryptocurrencies.
Taking into account the astounding and rapidly accelerating pace of the digitalisation of the global economy, not forming a multilateral crypto regulatory framework is, in my view, highly irresponsible and negligent.
The cryptocurrency sector is growing at an alarming rate. Earlier this week Bitcoin, the world’s largest cryptocurrency by market capitalisation, moved up to reach the $12,800 mark, following a 50 percent rise this month alone, and has skyrocketed 193 percent in value year-to-date.
As a result, it has had an impact on pulling up all other major cryptocurrencies.
Of course, this isn’t just a flash in the pan impressive rally. It highlights that the already flourishing digital currency sector is becoming unstoppable, as institutional investors are moving off the side lines more and more and are leaping into crypto.
These institutional investors understand, as indeed do retail investors, that in our increasingly digitalised, globalised world, cryptocurrencies without borders are where the future of money lies. As such, these investors want a piece of the action.
Therefore, ahead of the 2019 G-20 Osaka Summit, it’s time the leaders got involved and recognise that traditional, fiat currencies are not the way forward.
This G-20 summit is an ideal opportunity for leaders to make sure they place themselves on the right side of history.
By setting a collective set of regulatory guidelines, the G-20 leaders can make the most of the potentially massive financial benefits that cryptocurrencies can bring, and also sidestep the risks.
Indeed, with Japan being one of the most advanced jurisdictions in regard to digital currencies, the country is preparing to present a crypto regulation solution at the summit in Osaka.
As such, it would be imprudent not to make the most of the opportunity that this G-20 summit presents.
Nigel Green is founder and CEO of deVere Group. One of the world’s largest independent financial advisory organizations, de Vere does business in 100 countries and has more than $12 billion under advisement.
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