New Delhi: Among the useful nuggets of the latest Economic Survey is a snapshot of overseas crypto regulation. “While crypto assets were ostensibly designed to disintermediate traditional financial services, [they] it created new unregulated intermediary entities”, he points out, and establishes the need to regulate the centralized entities that people trust so as not to disappoint them. He cites a 2020 estimate that said 85% of Bitcoin was held by 4.5% of all holders (whales), points out some other risks, and advocates for global coordination to police digital tokens that defy national borders before to list what the EU, the UK, Japan, Switzerland, Albania and Nigeria have done. the leverage granted to retail clients by crypto exchanges, although the regimes proposed by the EU may still end up being broader in scope. The Swiss approach, focused on systemic stability while allowing the use of various tokens, is another model. The UK seems interested in investor protection. as a priority. Nigeria’s rendezvous with e-tokens echoes interventions by India’s central bank, of which the launch of an e-naira could provide us with ample policy lessons. We must follow the developments there.
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