ℹ️ G20 Risk Watchdog Flags Urgent Gaps in Global Crypto Regulation
The Financial Stability Board (FSB), the G20’s primary financial risk body, has issued a stark warning that global regulation of cryptocurrencies remains fragmented and inadequate. With major gaps in oversight—especially around cross-border stablecoins—the watchdog says coordinated regulatory action is needed to avoid systemic financial risks.
The FSB argues that without a unified framework, stablecoin failures or liquidity shocks could spread across borders, potentially destabilizing broader markets. It highlights that many nations still lack consistent rules for crypto exchanges, payments, and consumer protection, leaving both retail and institutional investors exposed.
By calling for a more cohesive global regulatory strategy, the FSB is signaling to governments and regulators that the current “patchwork” of policies could undermine financial stability. The warning underscores growing urgency for international cooperation in crypto oversight.
