BUENOS AIRES (Reuters) – The world’s financial leaders gathering in Argentina on Monday are likely to stop short of any specific action aimed at regulating cryptocurrencies such as Bitcoin, amid discord over the approach, sources at the summit told Reuters.

Two men talk at the G20 Meeting of Finance Ministers in Buenos Aires, Argentina, March 19, 2018. REUTERS/Marcos Brindicci

Wild swings in the price of Bitcoin, the best known of a myriad of digital currencies issued by private companies, cyber heists involving such assets, and fears they may be used for crime have raised calls for concerted actions by global regulators.

Finance ministers and central bankers from the world’s 20 largest economies meeting in Buenos Aires will be told on Tuesday that such “crypto assets” do not threaten financial stability but can serve to launder money or finance terrorism and hurt consumers who buy them.

However, no action is expected to follow at the summit as policymakers have yet to agree on a common strategy to tackle the issue and some countries, including the United States, are wary of new regulation after a decade of rule-making in the wake of the financial crisis of 2008-2009, the sources said.

This pushes back the prospect of a global rule book on the matter, something that some regulators say is needed to tackle a phenomenon that transcends borders.

“It’s unlikely that the G20 will ask for new regulation,” one of the sources said.

A communique summarizing the thinking of summit participants was expected to be light on substance, merely promising vigilance and further study, the sources said.

[SOURCE]