📉The International Monetary Fund (IMF) has proposed a Crypto Risk Assessment Matrix (C-RAM) to identify vulnerabilities and possible regulatory responses in the crypto sector.
🌐C-RAM consists of three steps: assessing the macro-criticality of crypto assets, analyzing indicators comparable to the traditional financial sector, and assessing global macro-financial risks.
🇸🇻Applying C-RAM to the situation in El Salvador, where Bitcoin became legal tender, the authors identified market, liquidation and regulatory risks.
🚨The IMF has regularly warned El Salvador about the dangers of using Bitcoin, pointing to “great risks” in the areas of financial stability, integrity and consumer protection.
🌐C-RAM consists of three steps: assessing the macro-criticality of crypto assets, analyzing indicators comparable to the traditional financial sector, and assessing global macro-financial risks.
🇸🇻Applying C-RAM to the situation in El Salvador, where Bitcoin became legal tender, the authors identified market, liquidation and regulatory risks.
🚨The IMF has regularly warned El Salvador about the dangers of using Bitcoin, pointing to “great risks” in the areas of financial stability, integrity and consumer protection.