Nirmala SITHARMAN, the Finance Minister of India which is currently holding the G20 Presidency, stated that the Group of Twenty (G20), welcomed the high level recommendations of the Financial Stability Board on crypto assets and global stablecoins during a Press Conference on Tuesday.

After multiple allegations of bad behaviour emerged in the recent turbulent crypto year, the international standard-setter FSB has called for stricter rules to safeguard crypto clients’ assets, and avoid conflicts of interest. The recommendations are the result of a consultation where traditional finance companies called for tighter crypto controls while Binance and Coinbase warned that stricter rules would limit innovation.

CoinDesk previously reported that stablecoin regulation was a point of contention between the Group of Seven and the G20. However, Sitharaman stated that the G20 welcomed the FSB recommendations to oversee stablecoins.

The announcement came after the third Finance and Central Bank Governors Meeting held in Gandhinagar (Gujarat) during India’s Presidency.

Sitharaman said that India’s note on cryptography was also discussed in the discussions which lasted late into Monday evening. local reports claim that the note is not clear. However, it was expected to summarize work done by different countries and institutions.

“Members discussed the note on India’s presidency and noted that this would be an important contribution towards prioritizing work areas essential for achieving comprehensive, cohesive and coordinated global policies and regulatory framework”, said Sitharaman.

The G20 will also be presented a jointly synthesis paper by the FSB and International Monetary Fund in September that focuses on global macro implications for crypto. The G20’s position on crypto will be finalized in September, during India’s Presidency.

Shaktikanta das, India’s central banking governor, said that a paper published by the Bank of International Settlements in January 2023, which included crypto bans alongside regulation as an option, reflects “huge risks” in crypto. “We have been saying” this for years.

Das spoke also about the G20 discussions on central banks digital currency (CBDC), stating that there had been a “perceptible shift in thinking” that CBDC was an important issue that needed to be taken more seriously.

Das added that digital versions will “represent a fundamental shift in the currency system.”

The issue is being studied by central banks all over the world. A recent study by Bank for International Settlements revealed that around 15 CBDCs for retail will be in circulation before 2030.

UPDATE (18 July, 13:33 UTC). : Added details.

Nelson Wang is the editor.