The Basel Global Committee of Banking Regulators will complete work on robust rules on how banks should set aside capital to cover crypto assets in their accounting records, the committee’s oversight body said on Tuesday.
The panel, made up of banking regulators from the world’s leading financial centers, proposed punitive capital charges on ‘unbacked’ crypto assets such as bitcoin.
“On crypto assets, members reiterated the importance of designing a robust regulatory framework for banks’ exposures to crypto assets that promote responsible innovation while preserving financial stability,” the Group of Central Bank Governors and Heads of Oversight said in a statement.
The group also urged swift and full unanimity from member countries to implement the final stage of Basel III, stricter capital requirements established in response to the global financial crisis more than a decade ago.
More than two-thirds of member countries plan to implement Basel III in full by 2024, it said.
The European Union and the United Kingdom, both Basel members, have said they aim to implement the remaining rules by early 2025, with the European bloc proposing several changes.
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