Klaas Knot, the current chairman of the Financial Stability Committee (FSB), outlined how the group plans to view the important threats to financial stability this year in a letter to G20 finance ministers and Fed chairmen. Data encryption assets and decentralized finance (Defi) feature prominently in the details of the tests seen by FSB. The G20 section chief and the financier group will meet in Bangalore, India, from February 24 to 25.

Mr Newt said FSB had a "groundbreaking work plan" to agree on a regulatory framework for data encryption assets by 2023. The Financial Stability Committee is an advisory management company established by the G20 and belongs to the Bank for International Settlements (BIS). There is no right to inspect.

FSB pointed out in a report on February 16th that it is increasing its attention to DEFI because of the potential links between DEFI and traditional finance. Now, Nott says, the advice in the new architecture may be a bad sign for some smooth people:

"most importantly, the work of the Financial Stability Commission has concluded that many of the existing stable systems are not in line with this high-level proposal at this stage. It is also not in line with the more detailed basic guidelines of the BIS payment and sales Market Infrastructure Development Committee-the International Securities Regulatory Commission body."

The implementation opinions announced by the Bank for International Settlements and the International Securities Regulatory Commission in July extended the basic principle of "the same risk and the same supervision" in the infrastructure construction of the financial sales market to a stable sales market. This principle was announced in 2012 in response to the financial woes of 2008.

After the FSB released its final proposal for the regulation and guidance of long-term stable login passwords for access password assets in July, the committee will advise on specific standard-setting organizations and monitor their implementation.

Newt wrote: "in accordance with the basic principles of 'the same thematic activities, the same risks, the same regulation', the appropriate regulation of data encrypted assets also lays a solid foundation for the use of potential rights and interests associated with financial independent innovation in this way. At the same time, it lays a solid foundation for resisting its risk."

The letter stressed that one of the driving forces behind the continued growth of login password assets was "strong dissatisfaction with the current cross-border payment system software". It added that the Financial Stability Committee would submit a report at the upcoming meeting on the next steps in the G20 route map to further strengthen cross-border payments.