Seminar on Digital Assets: Cryptoassets, Stable Currencies and Emerging Prudential Treatment

The Directorate of Financial Market Infrastructures of CEMLA, in collaboration with the Financial Stability Institute at BIS, organized the Seminar on Digital Assets: Cryptoassets, Stablecoins, and Emerging Prudential Treatment. This virtual seminar was held from September 7 to 8, 2023, and brought together 144 representatives from 32 CEMLA institutions and associates, representing 23 countries in Latin America and the Caribbean, as well as 6 European countries. Throughout the seminar, significant research and advancements in policy and regulation regarding crypto-assets were presented and discussed.

During the first day, Jun Wang (FSB) and Anneke Kosse (CPMI) highlighted essential characteristics that policies regulating crypto-assets should encompass. Anneke notably emphasized the adaptability of PFMIs to the context of Stablecoins. Additionally, Noel Reynolds (BCBS) discussed the current low exposure of the banking sector to crypto-assets, projecting an increase in the future. The day concluded with Denise García (FIS, BIS) presenting an extensive research paper covering policy and regulatory initiatives issued by financial authorities in 19 countries.

The second day featured presentations from El Salvador, Brazil, and the European Banking Authority (EBA) regarding their respective regulatory frameworks developed over recent years. El Salvador introduced its Bitcoin and Digital Asset Issuance Laws, focusing on integrating Bitcoin into its payment system. Brazil, observing a surge in crypto-asset operations, established a General Framework for the regulation and supervision of Virtual Asset Service Providers (VASPs). Finally, the EBA showcased MiCAR, a regulation designed to address existing regulatory gaps within the local regulations of the central banks of the region. Notably, MiCAR introduces the substitution of the term 'Stablecoins' with 'Asset-Referenced Tokens' and 'E-Money' (ART and EMT, respectively).