Cryptocurrency regulation has been a topic of discussion among many countries and organizations worldwide, as the rapid growth and adoption of digital currencies has raised concerns about their potential risks and benefits.

The G20, a group of the world’s largest economies, is considering whether the group could regulate cryptocurrencies collectively, given the complex and sophisticated nature of these assets.

G20 Intergovernmental Forum

The G20 or Group of Twenty is an intergovernmental forum comprising 19 countries and the European Union. It works to address major issues related to the global economy, such as international financial stability, climate change mitigation, and sustainable development.

The Group of Twenty (G20) is an intergovernmental forum comprising 19 countries – Argentina, Australia, Brazil, Canada, China, France, Germany, India, Indonesia, Italy, Japan, Republic of Korea, Mexico, Russia, Saudi Arabia, South Africa, Turkey, United Kingdom and United States and the European Union.

India holds the Presidency of the G20 from December 1, 2022 to November 30, 2023. The 43 Heads of Delegations- the largest ever in G20-will be participating in the 2023 in the upcoming eighteenth meeting of Group of Twenty (G20), a summit scheduled to take place in Pragati Maidan, New Delhi in 2023.

India’s presidency began on 1 December 2022, leading up to the summit in the fourth quarter of 2023.

The G20 consists of two parallel tracks: the Finance Track and the Sherpa Track. Finance Ministers and Central Bank Governors lead the Finance Track while Sherpas lead the Sherpa Track.

G20 president Year 2023

The Finance Minister of India, Nirmala Sitharaman, who is this year’s G20 president, has indicated that the group is exploring the possibility of a coordinated approach to cryptocurrency regulation. She emphasized that a single country alone cannot regulate cryptocurrencies effectively, and that a standard operating procedure is needed to make a regulatory framework.

Noteworthy, India is focused on bringing in crypto regulation in 2023.

Collective Global Regulatory Effort and Digital Currencies

The Indian government has been debating the regulation or ban of cryptocurrencies for several years, with Prime Minister Narendra Modi indicating a need for a collective global effort to deal with the challenges posed by digital currencies. The Reserve Bank of India has expressed its view that cryptocurrencies should be banned, stating that they are similar to a Ponzi scheme.

The G20 finance ministers and central bank governors will meet in India later this month to discuss various topics, including cryptocurrency regulation. The outcome of this meeting will be significant in determining the future of cryptocurrency regulation globally.