Global regulators said on Tuesday they will complete work by year end on how much capital banks should hold to cover cryptoassets on their books.
Last June the committee proposed that banks set aside enough capital to cover losses on any bitcoin holdings in full.
Certain tokenised traditional assets and stablecoins could, however, come under existing capital rules and be treated like bonds, loans, deposits or commodities
Earlier this month TerraUSD, a stablecoin tied to the US dollar, collapsed. “Recent developments have further highlighted the importance of having a global minimum prudential framework to mitigate risks from cryptoassets,” the Basel Committee said in a statement.
“Building on the feedback received by external stakeholders, the Committee plans to publish another consultation paper over the coming month, with a view to finalising the prudential treatment around the end of this year.”
Countries which are members of Basel are committed to applying its agreed principles in their own national rules.
The committee also said it has agreed to a finalised set of principles for supervising climate-related financial risks at banks.
Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.
Featured News
College Sports Leaders in Intensive Talks to Settle NIL Antitrust Case Against NCAA
Apr 30, 2024 by
CPI
EU Investigates Facebook’s and Instagram’s Handling of Disinformation Ahead of Elections
Apr 30, 2024 by
CPI
Antitrust Lawsuit Targets Hotel Giants for Alleged Price Fixing with AI
Apr 30, 2024 by
CPI
ABA Seeks to Join FTC Lawsuit Against Amazon Over Antitrust Concerns
Apr 30, 2024 by
CPI
Google Agrees to Pay News Corp for AI-Related Content
Apr 30, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – Economics of Criminal Antitrust
Apr 19, 2024 by
CPI
Navigating Economic Expert Work in Criminal Antitrust Litigation
Apr 19, 2024 by
CPI
The Increased Importance of Economics in Cartel Cases
Apr 19, 2024 by
CPI
A Law and Economics Analysis of the Antitrust Treatment of Physician Collective Price Agreements
Apr 19, 2024 by
CPI
Information Exchange In Criminal Antitrust Cases: How Economic Testimony Can Tip The Scales
Apr 19, 2024 by
CPI