According to a new report by the Financial Times, EU Financial Services Commissioner Mairead McGuiness is calling upon the US to lead the way when it comes to crypto regulations that could apply worldwide.
“We do need to see other players also legislating. Perhaps differently, but with the same objective… We need to look at global regulation of crypto.”
If left unregulated, crypto assets pose a financial stability risk and leave investors in an uncertain operating environment, according to McGuiness.
“There’s a lot of concern at a European level as to [what would happen] if crypto were not to be regulated. There could be – in time, if it grows – financial stability problems. There also are investor issues around a lack of certainty.”
The plea by the EU official for global crypto regulations comes a little over a month after the International Monetary Fund (IMF), a branch of the United Nations that aims to achieve sustainable economic growth for its members, called for a comprehensive regulatory framework for digital assets.
As previously stated by the IMF,
“A global regulatory framework will bring order to the markets, help instill consumer confidence, lay out the limits of what is permissible, and provide a safe space for useful innovation to continue.”