IMF warns of global risks from unregulated cryptocurrency boom

Greater financial instability, fraud and funding of terrorism likely unless governments toughen supervision, fund says

Tougher regulation is needed to prevent the rapid growth in cryptocurrencies leading to financial instability, defrauding of consumers and the funding of terrorism, the International Monetary Fund has said.

The Washington-based IMF said the 10-fold increase in the market value of crypto assets - digital or virtual currencies - to more than $2tn since early 2020 required more active and collaborative supervision by governments.