The G7 believes that cryptocurrency should adhere to the same standards as traditional finance

The gathering of finance ministers from the world’s seven major industrialized economies stated that crypto assets should be held to the same rules as the rest of the financial system.

Following the collapse of stablecoin terraUSD (UST) last week, the G7 issued a statement calling for tighter laws to combat money laundering and disclose reserves.

“The G7 remains committed to high regulatory standards for global stablecoins, following the principle of same activity, same risk, same regulation, “it stated. According to the statement, the Financial Stability Board (FSB) has been ordered to expedite work in the aftermath of the market shock.

The missive also called for the Financial Action Task Force (FATF) travel rule to be implemented, a contentious anti-money laundering provision that jurisdictions such as the European Union are currently legislating for, as well as “stronger disclosure and regulatory reporting, for example, as regards reserve assets backing stablecoins.”