The IMF has strong reservations about cryptocurrencies, mainly because the market is growing at an extreme pace and regulation worthy of the name does not exist
The market value of global crypto assets had surpassed two trillion dollars as of September 2021 – a tenfold jump from January 2020
Evan Papageorgiou, deputy department head at the IMF, told CNBC that the crypto ecosystem has grown significantly, and while the growth process shows remarkable stability, there have also been tough stress tests. Specifically, the IMF cites three reasons for its concerns about cryptocurrency:
Related: Crypto regulation must be comprehensive, consistent, and coordinated: IMF
A lack of experience
Quite a few companies dealing in digital assets lack operational experience, governance experience and risk management experience. An example: The German savings banks. They are taking on a huge responsibility with their new offer of cryptocurrencies: In large parts of the population, the savings banks
