The Basel Committee on Banking Supervision recently approved a disclosure framework concerning banks’ exposure to cryptocurrencies, which is set to be implemented by the beginning of 2026. This decision comes as central banks worldwide seek to reinforce market discipline and ensure the availability of adequate information to assess risks effectively.
As a key global standard setter for bank prudential regulations, the committee, operating under the Bank for International Settlements, will release detailed guidelines later this month. The finalized framework comprises public tables and templates that will outline banks’ crypto asset exposures. This development follows a comprehensive review of feedback received from a consultation initiated in December 2022.
The new requirements mandate banks to disclose both qualitative information on their crypto-related activities and quantitative data on their exposure to cryptocurrencies. Furthermore, the committee greenlighted a series of targeted adjustments to the existing crypto asset prudential standard.
These revisions are designed to enhance a consistent interpretation of the standard, particularly concerning the criteria for stablecoins to qualify for a preferred ‘Group 1b’ regulatory treatment. The updated version of the standard is scheduled for publication later this month and must be effectively implemented by the commencement of 2026.
The Basel Committee’s proactive stance in establishing this disclosure framework underscores the significance of addressing the evolving landscape of cryptocurrencies within the banking sector. By promoting transparency and regulatory clarity, the committee aims to ensure the stability and integrity of financial institutions amid the growing presence of digital assets.