London and Hong Kong: According to a top official at a watchdog group, global crypto market regulators are likely to set up a single body within the next year so that cryptocurrency laws can be better coordinated.
Chair of the International Organization of Securities Commissions (IOSCO) Ashley Alder remarked that the emergence of digital currencies like bitcoin is one of three big challenges that regulators are currently working on, along with COVID and climate change.
Alder spoke at an online conference hosted by the OMFIF think tank on Thursday.
He said that the government isn’t doing enough to deal with cyber security, operational resilience, and a lack of transparency in the crypto sector.
This week, people are paying more attention to cryptocurrency markets because they are becoming more volatile, which has worried regulators for a long time.
Following the demise of the so-called‘stablecoin‘ TerraUSD, the chairman of the Senate Banking Committee asked U.S. lawmakers on Wednesday to enact stricter crypto legislation, while bitcoin lost almost 20% this week.
Alder stated that a global body to attempt to harmonize crypto rules was unquestionably required, comparing it to existing climate finance arrangements, like those of the G20 group of leading economies.
Alder, who is also the CEO of Hong Kong’s Securities and Futures Commission, stated, “At this time, there is nothing comparable for crypto.”
“However, I do believe that it is now seen as one of the three C’s (Covid, climate, and crypto) and is hence quite vital. It is now a higher priority, therefore I do not anticipate the same situation at this time next year. “
