The International Monetary Fund has made a surprise U-turn on its stance on the cryptocurrency ban as the US and other major economies continue their crackdown.
The IMF’s sudden flip on the crypto ban, warning it “may not be effective” comes just months after suggesting banning as an option, because it would also prevent countries from gaining the associated benefits.
“While a few countries have completely banned crypto assets given their risks, this approach may not be effective in the long run,” the IMF said in a website post about interest in central bank digital currency (CBDC) adoption in Latin America and the Caribbean. “The region should instead focus on addressing the drivers of crypto demand, including citizens’ unmet digital payment needs, and on improving transparency, by recording crypto asset transactions in national statistics.”
The Washington-based Fund said earlier this year that outright crypto bans “should not be ruled out,” and called for a…
