Ban Crypto Is Not The Solution! – IMF

<p>&nbsp;"Many will agree with this statement, the future will probably require crypto."</p><p><br /></p><p>In addition to certain countries being urged to implement cryptocurrency regulations, the International Monetary Fund (IMF) stated that banning digital assets is not the best approach.</p><p><br /></p><p>Revealed by the IMF when releasing a report on Latin America and the Caribbean, local governments have taken various approaches in dealing with the use of cryptocurrencies or Central Bank Digital Currencies (CBDCs).</p><p><br /></p><p>However, Bitcoin (BTC) has been adopted as legal tender in El Salvador since September 2021 while the Bahamas was the first country to launch its own CBDC dubbed Sand Dollar in October 2020.</p><p><br /></p><p><br /></p><p>While the IMF also said that Brazil, Argentina, Columbia and Ecuador which are in the process of implementing crypto regulations have been ranked among the highest countries in the world for the use of digital assets.</p><p><br /></p><p>Most central banks in the region have considered adopting crypto as part of their efforts to help the unbanked, send payments faster and cheaper and so on.</p><p><br /></p><p>If designed well, the IMF asserts that CBDCs can strengthen the usability, resilience, efficiency of payment systems and improve financial inclusion in Latin America and the Caribbean.</p><p><br /></p><p>Although some countries ban digital assets entirely given the risks involved, such an approach is likely to be ineffective in the long term.</p><p><br /></p><p>On June 19, 2023, the director of the monetary and capital market department named Tobias Adrian who proposed a payment system using a single ledger to record CBDC transactions received harsh criticism from many quarters.</p>