The head of Germany’s central bank described blockchain as “a multi-purpose tool” during a G20 summit speech earlier this week.
Leaders from the international organization are meeting in Germany this week to discuss issues around the digitization of finance. The event also saw Bank of England chief Mark Carney remark on distributed ledger tech, suggesting that the tech could “reshape” the financial sector.
While Bundesbank president Jens Weidmann largely steered clear of such statements, he did briefly note the central bank’s work with exchange operator Deutsche Börse on a blockchain-focused securities trade project, as well as internal research on the tech.
He told conference attendees:
Perhaps most notably, Weidmann went on to indicate support for an accommodative regulatory framework for FinTech startups as part of Germany’s presidency of the G20 group. In his speech, he said that an approach that avoids "hindering financial innovation is warranted".
While he didn’t offer any details as to what that framework might constitute, Weidmann indicated that any initial steps would include mapping out possible strategies for developing any FinTech-facing rules.
"Our aim is to develop a set of common criteria for the regulatory treatment of FinTechs," he said.
Image via Wikimedia
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.
Learn more about Consensus 2023, 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.