GFMA and Joint Response to BCBS on Prudential Treatment of Crypto
The Global Financial Markets Association (GFMA), with the Institute of International Finance (IIF), the International Swaps and Derivatives Association (ISDA), and the International Capital Markets Association (ICMA), submitted a joint response to the Basel Committee on Banking Supervision’s (BCBS) consultative document on the “Disclosure of Cryptoasset Exposures.”
While the Associations support the development of responsible, well-balanced disclosures of cryptoasset exposures, they have a number of concerns with the general policy approach, and level of detail, reflected in the Consultation’s proposed disclosure requirements which are outlined in the joint response. The proposed disclosure may hinder the adoption of innovative technologies and banks’ engagement in crypto markets and ultimately may impact the safe and responsible development of a sound global cryptoasset market. This could detrimentally affect the overall transparency and stability of the market, as well as associated resource allocation by investors and market participants.
– 31 January 2024 –