Financial Stability Board Still Weighing Digital Currency Risks

The Financial Stability Board (FSB), an international body composed of central bank officials and finance regulators, said in its latest annual report that it continues to assess opportunities and risks related to digital currencies.

The report

, published earlier this week, indicated that the FSB’s work is largely in line with previous statements from the organization. In March, the group said that it was actively discussing the technology and its impact on the financial system.

The report states:

"The FSB's continued work in this area will consider both the risks and opportunities presented by the developments in financial technology, the issues raised for public authorities by these technologies, possible steps to address potential risks, and opportunities for cooperation in the FSB and with the standard-setting bodies to deepen analysis and develop regulatory perspectives."

The FSB disclosed its work in the area earlier this year, when Reserve Bank of India deputy governor Subhash Sheoratan Mundra offered details during a speech given in February.

Currently chairng the FSB is Mark Carney, governor of the Bank of England and former governor of the Bank of Canada. Carney recently detailed the central bank's work on blockchain technology in statements released earlier this month.

The FSB was formed in 2009 by the international organization G-20 in the wake of the financial crisis.

Image via Shutterstock

DISCLOSURE

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.

Stan Higgins

Learn more about Consensus 2024, CoinDesk’s longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.