Cryptocurrency assets should be covered by regulations on foreign exchange and capital flow management, according to the International Monetary Fund (IMF).
- The IMF cited the ongoing conflict between Russia and Ukraine as a cause for concern, noting that regulators across the globe face difficulties in applying sanctions on the cryptocurrency space.
- The watchdog flagged that individuals looking to avoid sanctions could move to less scrupulous providers or utilize other privacy techniques such as mixers but noted that big ruble transfers on exchanges are “impractical.”
- Officials also admitted that digital tokens are not probably being used to avoid financial restrictions on Russia, as evidence suggests that “there is not much going on.”
The IMF in October warned that the under-regulation of cryptocurrencies could cause instability and fraud.
BTC is up 5.66%, ETH is up 6.81%, and ADA is up 5.17%.