G-7 said to promote tougher crypto rules amid global banking drama

The international Group of Seven (G-7) will push for tighter global regulations of the cryptocurrency space in an effort to boost business transparency and consumer protections, according to a recent Kyodo News report that cited officials with knowledge of the plan. Talks on regulating crypto globally are set to accelerate in the runup to a mid-May gathering of financial ministers and central bankers, the report said, adding that G-7 members will state their combined efforts to toughen crypto rules in a leaders' declaration at this year's summit in Hiroshima, Japan. The G-7 members consist of the U.K., U.S., Canada, France, Japan, Italy and Germany. Japan was said to have one of the toughest crypto frameworks, with customers in FTX's ( FTT-USD ) Japanese unit being some of the first to recover funds from the failed crypto exchange. After the collapse of Bahamas-based FTX ( FTT-USD ) late last year, and more recently, the failures of Silicon Valley Bank ( SIVB ) and crypto-friendly lenders Silvergate Capital ( SI ) and Signature Bank ( SBNY ), regulators have prioritized scrutinizing the crypto industry. The banking drama has been experienced not just in the U.S., but globally, in the wake of the shotgun marriage of Swiss lenders UBS Group ( UBS ) and Credit Suisse ( CS ) as well as jitters surrounding Germany's Deutsche Bank ( DB ). While crypto rules currently vary by country, the G-7 is seeking to take the lead in creating an arguably much-needed global regulatory framework, Kyodo noted. More on the crypto clampdown Bitcoin Is Benefitting From Banking Sector Fallout Coinbase Wells Notice: What Is At ‘Stake’ SEC warns of ‘significant’ risk of loss for crypto investors Ex-Terraform Labs CEO Do Kwon arrested in Montenegro after months in hiding