Germany and France call for global regulation for cryptocurrencies

Senior officials for France and Germany are calling for cryptocurrencies to be regulated and puton the ageda for the G20 summit in March.

A letter has been written by France’s Bruno Le Maire and Francois Villeroy de Galhau, and Germany’s Peter Altmaier and Jens Weidmann, reports Reuters, addressed to the Argentinian Finance Minister.

The letter says: “We believe there may be new opportunities arising from the tokens and the technologies behind them. However, tokens could pose substantial risks for investors and can be vulnerable to financial crime without appropriate measures. In the longer run, potential risks in the field of financial stability may emerge as well.”

France has already setup a task force responsible for the proposed guidelines on digital currency, led by former Banque de France deputy governor Jean Pierre Landau.

“Great efforts have been made in recent years to protect retail investors and consumers more generally, and there is no reasons that appropriate frameworks should not be applicable in this sector,” the letter continues. “The buildup of individual exposures to such volatile tokens could have damaging consequences for misinformed investors who do not understand the risks.”

Financial Times; CoinDaily