G7 countries are reportedly considering crypto assets regulation.
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The central bank governors and finance ministers from G7 countries including; Germany, Italy, Japan, United States, Canada, France, and the United Kingdom showed their strong commitment towards regulating cryptocurrencies during its most recent meeting chaired by Steven T. Mnuchin, the U.S. Treasury Secretary.
Per the press release on the U.S Treasury department webpage, the document stressed on the importance of regulating cryptocurrencies and other digital tokens to prevent bad actors and criminals from taking advantage of its unique features.
Other important discussions includes:
- The Ministers and Governors discussed domestic and international economic remedies and strategies to achieve a robust recovery throughout the global economy.
- They also discussed ongoing responses to the evolving landscape of crypto assets and other digital assets and national authorities’ work to prevent their use for malign purposes and illicit activities.
- The Ministers and Governors reiterated support for the G7 joint statement on digital payments issued in October.
Recall that DiutoCoinNews reported that SEC Nigeria released a press release stating that the commission will regulate crypto-token or crypto-coin investments when the character of the investments qualifies as securities transactions.
The commission states that virtual crypto assets are securities, unless proven otherwise. It is therefore left for the sponsor or issuer to prove that the crypto assets proposed to be offered are not securities and therefore not under the jurisdiction of the commission.
Why is every entity regulating now? The cryptcurrency market is growing at a steady rate. Many more traditional companies are now investing and buying up Bitcoin hence the need to regulate the sector and deter bad actors from utilitizing the tech to bypass legal procedures or engage in illicit or malign affairs.