On Tuesday, global banking regulators put forward a proposal for major banks to disclose their crypto holdings in a standardized way starting January 2025. The goal is to help maintain "market discipline" by providing investors with a clear view of these assets.
Last December, the Basel Committee, made up of regulators from major financial hubs, established new rules on how much capital banks need to hold for various types of crypto assets. Now they've opened a public consultation to detail how banks should report these holdings to investors.
According to the proposal, banks will have to share both qualitative details about their crypto activities and quantitative data on their exposure to these assets, including information on capital and liquidity requirements. They’ll also need to clarify the accounting classifications of their crypto exposures and liabilities.
This public consultation wraps up on January 31, 2024.
One clear takeaway from this is that cryptocurrency isn't just a fad or scam; it's going to be part of the future. But with the global banking authority stepping in, we're looking at some serious oversight of cryptocurrency across all nations, no matter the political climate or relationships.
Yes that is interesting, this mean that we as users need to keep bitcoin and other alt-coints out of any CEX and Bank. Just to not give them more power
That's fine! When common people is expected by the tax man to disclose their cripto earnings, why not banks! I mean everything should be transparent as the regulators say.
This is not really on the users. But it is more on the banks to disclose how much cryptocurrency assets they are holding as their investment. That is very fair!
Good. This would both help further legitimize cryptocurrencies as well as make sure that the banking sector stays transparent while continuing to integrate cryptocurrency-related offerings. Let's see what comes of it though, given that it's only a proposal for now.
In Russia, in almost any banking application you can open a brokerage account in 1 click and trade shares and other assets, and all taxes from each transaction are taken by the broker and submitted reports to the tax office. A citizen has no obstacles to trade.
In Europe and the USA, I heard that a trader fills out complex forms for reporting to the tax authorities. In Russia, these forms are filled out by the broker for free.
And banks will only be happy if the number of assets for trading in cryptocurrencies increases, but people will trade air because real assets belong to the bank.
Look at the statistics. People understand that cryptocurrencies that are stored on custodial services do not belong to them, but they still use exchanges, banks and other custodial services for storage.
I'm not talking about trading, I'm talking specifically about storage.
People find it difficult or have no time to buy a hardware wallet for $50.
Yes, specially for banks, we really don't know how much assets they have (if they did) as far as crypto goes. At least with this proposal ordinary people will know it as they will become transparent on everything related to crypto.
It's just a question whether they will opposed on this regulations.
And it could go back and forth before they will agree on the the new rules. So let's see how it goes.
Let me get it strait! How exactly a person can understand that there is a lie on the blockchain? Is it possible to covert dirty transactions in blockchain? How transparency fails in case of blockchain? How easy it is to sponsor really BAD GUYS using blockchain?
If anyone can answer me those questions than send this guy to SEC!
This way, any user can receive dirty coins, and as soon as these coins arrive at any custodial service, they will be blocked.
Cascodial services handle coin confiscation and should not be used if you want to be safe from loss or legal action.
Or then work in accordance with the laws of your countries and buy coins on licensed exchanges for legal income.