A forum of some of the largest US and European banks has pushed for changes to the rules proposed by the world’s central banks and regulators for capital requirements for exposure to Bitcoin.
- The Global Financial Markets Association (GFMA), made up of institutions such as JPMorgan Chase and Deutsche Bank, as well as several other industry associations, opposed the June 20 letter from the Basel Committee on Banking Supervision, The Wallstreet Journal reported Tuesday.
- The Basel Committee, a group within the Bank for International Settlements made up of global regulators and central bankers, suggested that banks exposed to Bitcoin should set aside capital to fully cover losses.
- The GFMA considers such a weighting to be unnecessary.
- “We find that the proposals in the consultation are so too conservative and simple that they would practically rule out a participation of the banks in the markets for crypto-assets,” wrote the GFMA in the Letter to the committee.
Continue reading: JPMorgan launches internal Bitcoin fund for private bank customers