{"id":73944,"date":"2023-10-18T07:57:26","date_gmt":"2023-10-18T11:57:26","guid":{"rendered":"https:\/\/ifintechworld.com\/markets\/crypto\/crypto-exposure-reporting-should-be-mandatory-for-banks\/"},"modified":"2023-10-18T07:57:29","modified_gmt":"2023-10-18T11:57:29","slug":"crypto-exposure-reporting-should-be-mandatory-for-banks","status":"publish","type":"post","link":"https:\/\/ifintechworld.com\/?p=73944","title":{"rendered":"Crypto Exposure Reporting Should Be Mandatory for Banks"},"content":{"rendered":"
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The Basel Committee on Banking Supervision has underscored the importance of disclosing banks’ cryptoasset exposures, emphasizing the need for standardized reporting and greater transparency in the crypto space.<\/p>\n

In a consultative document, the committee proposed mandatory reporting requirements for banks related to their crypto activities.<\/p>\n

The proposals extend to both qualitative and quantitative aspects of crypto exposures, the committee said.<\/p>\n

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The disclosure includes information about the bank’s crypto-related activities, details on exposures to crypto, and associated liquidity requirements.<\/p>\n

Banks must also provide information about how they classify their crypto-related exposures and liabilities.<\/p>\n

The Basel Committee aims to implement these disclosure requirements by January 1, 2025.<\/p>\n

By standardizing crypto exposure reporting, the committee seeks to promote market discipline and bridge the information gap between banks and market participants.<\/p>\n

The committee has invited comments from the public, market participants, and disclosure users and preparers regarding these proposals.<\/p>\n

All comments received by January 31, 2024, will be made public on the Bank for International Settlements (BIS) website unless the respondent explicitly requests confidential treatment.<\/p>\n

As the primary global standard setter for the prudential regulation of banks, the Basel Committee plays a crucial role in enhancing financial stability.<\/p>\n

While its decisions don’t hold legal force, they influence banking practices and regulations worldwide.<\/p>\n

The Basel Committee on Banking Supervision was established in 1974 by central bank governors from what was then known as the G10 countries.<\/p>\n

The committee\u2019s secretariat is located at the Bank for International Settlements\u2019 headquarter in Basel, Switzerland.<\/p>\n<\/p><\/div>\n