UN recommends banning banks from offering cryptocurrencies to customers

A few days ago I shared a post about the Eurasian giant's aspirations to create its own cryptocurrency exchange and host it at the Moscow Exchange (MOEX), this with the purpose of constituting an exchange dedicated to facilitate transactions in cryptocurrencies in Russia, an action that in my view can be positive for users and investors of digital assets.

However, in contrast to the proposals emerging from Moscow to facilitate cryptocurrency transactions, the United Nations recently decided to prohibit banks from offering cryptocurrencies to their customers at a conference on trade and development, since the UN considers that there are more risks than benefits in the mass adoption of cryptocurrencies.

The position of the United Nations Organization arises after revealing the statistical data of states with the highest adoption of Bitcoin and cryptocurrencies, it is noteworthy that in the first three places are Ukraine, Russia and Venezuela.

It may be that the unfavorable stance United Nations Organization is related to market economies with political trajectory contrary to Western countries, an element that may be biased and somehow creates a distortion on the real value of what blockchain technology offers to the economic and financial sectors on a global scale.

According to the United Nations, the highest percentage of cryptocurrency adoption is represented by emerging market and developing economies, so for the UN to prohibit banks from offering cryptocurrencies to their customers is due to the following two reasons, the uses of cryptocurrencies involve the sending and receiving of remittances, and the possibility of financial investment and speculation.

Additionally, the United Nations Organization, did not hesitate to recognize that countries facing currency depreciation and rising inflation (caused or accentuated by the COVID-19 crisis), cryptocurrencies have been perceived as a way to protect household savings.

UNCTAD All that glitters is not gold: The high cost of leaving cryptocurrencies unregulated. Link