As global crypto adoption continues to accelerate —  more than 4% of the world’s population now holds crypto — so have international calls for regulatory clarity for digital assets. To keep pace, a number of countries are attempting to establish clear policy guardrails. Among the G20 nations debating major regulatory moves are South Korea, Italy, and India. Here’s a look at what they're considering.

• India became head of the G20 last year and said that creating a global consensus for crypto policy is a priority for their year-long leadership role. India’s Finance Minister, Nirmala Sitharaman, aims to establish a global agreement before pursuing domestic crypto policies, which the country is researching alongside the International Monetary Fund. In February 2022, the country imposed a 30% tax on crypto profits, though digital assets are still not formally legalized. 
• Italy has registered 91 crypto firms ahead of the EU’s landmark Markets in Crypto Assets (MiCA) framework, expected to pass in April. Among MiCA’s key policies are licensing rules for crypto wallets and exchanges, and reserve requirements for stablecoins. While Italy’s central bank is working with local regulators to begin setting up the “authorization and supervision activities” defined by the MiCA, the country also plans to promote the use of distributed ledger technology to improve the efficiency of its financial systems.
• South Korean authorities recently released guidelines to govern blockchain-based traditional securities, which would enable approved entities to issue tokenized versions of securities (like company shares) and be governed by the same laws as the country’s traditional financial markets. Meanwhile, South Korea currently has 17 crypto policies under consideration, including things like stablecoin reserve and fair trading requirements, all of which would inform the country’s Digital Asset Basic Act, which aims to offer a comprehensive legal framework for South Korea’s bustling cryptoeconomy.

Why it matters… With 420 million global crypto users and growing, governments all over the world are recognizing that clear regulation is a necessity. In the U.S. however, while politicians have signaled interest in following suit, the pace appears to be far slower, meaning the country risks falling behind others without clear priorities and next steps. As the chief global regulatory officer at the Crypto Council for Innovation put it: “If [the U.S.] wants to be the leading digital economy in the world, then we need rules of the road.”

Source: Coinbase bite.