BIS News

The current capital reserve requirements and rules make holding cryptocurrencies too costly for banks, limiting the sector’s growth.

The Bank for International Settlements floated a compliance score for crypto-to-fiat off-ramps, using transaction history to flag and potentially freeze “tainted” assets.

The European Banking Authority completed draft rules requiring banks to assign a 1,250% risk weight to unbacked cryptocurrencies like Bitcoin and Ether.

BIS says stablecoins fall short on key monetary principles, warning of financial crime risks and threats to monetary sovereignty.

The New York Fed and the Bank for International Settlements are trialing smart contracts for tokenized monetary policy, aiming to let central banks act instantly in future financial systems.

Speculative activity remains closely tied to global funding rates, highlighting crypto’s growing “interconnectedness” with traditional finance, a BIS report claimed.

The Bank for International Settlements warns that crypto and stablecoins may destabilize finance and widen inequality, urging stronger regulation in response.

According to a BIS report, Jamaica, Nigeria, China, Sweden, the Bahamas and Peru have CBDC programs in various stages of development.

The UK’s central bank wants to monitor the stability of crypto and set future policy; it has asked local firms to disclose their current and future crypto plans.

BIS researchers concluded that liquidity provision is not decentralized apart from its technical implementation. 

Economic sanctions have a profound effect on international financial architecture, it turns out.

Project Mandala uses zero-knowledge proofs to complete compliance checks across different jurisdictions. 

The Bank for International Settlements and the Financial Stability Board have similar views on tokenization — it could provide new benefits and familiar challenges.

The large private companies will work with seven central banks on improving structural inefficiencies in international transfers.

The proof-of-concept showed that real-time monitoring of stablecoin reserves could be achieved with cooperation among regulators, technologists and issuers.