In a blog post published by the International Monetary Fund (IMF) last week, he emphasized that crypto money regulations should be addressed comprehensively and coordinated rather than banning cryptocurrencies.
Shortly after the IMF published its blog post on cryptocurrency regulations, IMF chief economist Gita Gopinath revealed her personal thoughts on cryptocurrencies.
Speaking at an event organized by the National Council for Applied Economic Research (NCAER), Gita Gopinath said that she opposes banning cryptocurrencies, but that strict regulations are needed in this area.
Noting that developing countries rather than economically developed countries are turning to cryptocurrencies, the economist emphasized that cryptocurrencies will pose a problem for developing countries and that global standard regulations should be implemented immediately.
“I think cryptocurrencies are a particular challenge for emerging markets. Cryptocurrencies seem to be more attractive to emerging markets compared to developed economies.
However, emerging markets have exchange rate controls, capital flow controls, and cryptocurrencies can affect that.”
Emphasizing the urgent need for comprehensive global crypto regulation, Gita Gopinath stated that no country can do these comprehensive regulations alone, and that global cooperation in this area is needed.
The IMF chief Economist stated that his remarks were not a “ban” call, as banning cryptocurrencies was not an option for the IMF.
Gopinath underlined that the bans made to protect against crypto assets can make things a bigger problem, and in this context, the main thing to do is regulation.