5 Things To Know About The G20 Summit


Jun 28, 2019

摘要: The global co-governance will become necessary. ChainDD will highlight 5 main things about the G20 Osaka Summit.

The world-famous Osaka G20 Summit will be held from the 28th to the 29th of this month. As the largest world leader meeting held during the last term of Prime Minister Shinzo Abe, it was also the first heavyweight summit held after Japan’s reform of the "Langhe". The Japanese government attached great importance to it and has prepared for several years. 

The global co-governance will become necessary. ChainDD will highlight 5 main things about the G20 Osaka Summit.

#1 China-US summit talks may affect the flow of funds in the digital currency market

Sino-US trade negotiations have become the most concerned thing in the world today because of this trade war provoked by the United States, the multilateralism that US unilateralism appeals to most countries, and the economy that the United States trade protectionism appeals to the world. The "war" of globalization is indeed closely related to the pockets and future of almost everyone in the world.

It is undoubtedly a good thing for China and the United States to agree to meet again. It is a great news for the market. After the news that the US dollar will meet again, the US stock market rose sharply, and the Dow quickly climbed 400 points.

If at the meeting, China and the United States reach a signal of reconciliation or disclosure of a trade war, it may become a negative factor for bitcoin prices, and funds flow from the currency market into the traditional financial market. If the Sino-US trade war deteriorates, it will trigger the large-scale entry of safe-haven funds into the currency market and achieve the goal of diversifying risks.

This also shows that the US market looks forward to the smoothing of US-China relations, the resolution of economic and trade frictions, and the continuation of cooperation between the two sides, and does not hope to further intensify contradictions and disputes.

#2 20 countries will officially sign the encryption policy

On June 9, the G20 finance ministers meeting officially ended. During the meeting, issues such as the international standards for encryption assets and the Department of Financial Stability became the core of the discussion: on the one hand, seeking cooperation between countries became an important measure for the development of the encryption market; on the other hand, it temporarily denied the encryption of assets to the global financial system. Threat. 

Because of its anonymity, digital currency is regarded by the regulatory authorities as a means of money laundering and terrorist financing. Earlier, the meeting of the G20 finance ministers and central bank governors held in Washington in April also reached a consensus: ** In order to prevent the abuse of virtual currency for money laundering, the meeting decided to share the list of national regulatory authorities and carry out close cooperation. Seeking cooperation between countries seems to be an important measure for the regulation of the encryption market. **

On June 21st, the International Intergovernmental Cooperation Agency's Anti-Money Laundering Financial Action Task Force (FATF) published the final version of the Anti-Money Laundering and Terrorist Financing Regulatory Guidelines, clearly requiring that, including cryptocurrency trading, “virtual asset service provision” "Business" (VASP) must share customer information about the transfer of funds with the government.

The FATF said that the misuse of virtual assets by criminals and terrorists is a "serious and urgent" threat, giving member states 12 months to comply with this guideline and is scheduled to be evaluated in June next year.

At the G20 summit, under the "global economy" theme, digital currency regulation will become a hot topic of discussion.

#3 Facebook's Libra disrupts traditional finance

On June 18th, social giant Facebook released the Libra white paper on encryption projects. The white paper pointed out that Libra's mission is to build a simple, borderless currency and financial infrastructure for billions of people. Facebook relies on a strong user base to enter the cryptocurrency payment and transaction field, and has the strength to reshape the entire business landscape, and may also pose a threat to the status of the national sovereign currency.

After Facebook released the Libra project, French Finance Minister Lemaire said that Libra should not be regarded as a substitute for traditional currency, it must not, and cannot be, a sovereign currency. Governments have the right to "request some guarantees from Facebook." Both the Bank of England Governor and the Federal Reserve Chairman said that Libra is facing high standards of regulatory requirements. The Governor of the Reserve Bank of Australia said that Libra has a lot of regulatory issues to solve, and he has long believed that cryptocurrencies will not land in Australia.

The G20 summit, which is particularly important for the Libra project, has participated in the major European and American countries. Facebook's issue of stable currency, a huge challenge to traditional finance, will definitely become the focus of the summit. (For more information about Facebook's cryptocurrency Libra project, see the exclusive topic of the chain:

#4 G20 in the field of encryption": V20 Summit

At the same time in the 2019 Osaka G20 Summit, there is also a “V20 Summit”; and this V20 summit is also related to the recently rumored FATF (AML Financial Action Task Force).

Among the members of the company or organization announced by the V20 official website, not only Deloitte, Firecoin Group, Bitfinex, Kraken, Crypto.com, but also traditional financial institutions such as Deloitte. According to Finacial News, senior executives of Circle, Coinbase and bitFlyer, the main cryptocurrency exchanges, also confirmed their participation.

As you can see on the official website of the V20 Summit, the “V20 proposal” includes:

- The government agency, the encryption company and the FATF representatives held a round table at the G20 summit in Osaka;

- Develop a regulation proposed by the industry that reflects the uniqueness of virtual assets to influence the FATF proposal;

- Extend the timetable for the entry into force of the FATF upgrade standard;

- Develop protocols and standards to support the platform to meet FATF requirements for information collection.

#5 Blockchain will provide solutions for global issues

The digital economy is one of the important themes at the G20 Osaka Summit. At present, 5G is accelerating its progress, and issues such as rulemaking in this field have also received much attention. Countries do not want to lag behind in the digital economy, and discussions on this issue will be more specific than before.

UN Secretary-General António Guterres also mentioned in the manuscript to the Nikkei News: The digital economy will be one of the main topics of the upcoming G20 summit in Osaka.

New technologies offer great opportunities for peace, human rights and sustainable development. Artificial intelligence (AI), blockchain (distributed ledger), biotechnology, etc., are likely to create solutions for global issues.

Guterres also mentioned that new technologies have also brought threats. The weapon that kills the enemy without action is about to appear; social media is used to spread hatreds and lies; criminals use the imaginary currency to conduct population trading and drug smuggling in the dark net; workers fear that their work becomes a victim of automation. Guterres believes that in the digital world, the policy of simulation does not work. He also called for building trust and walking ahead of the issue to shape a peaceful, rich and positive digital future.

As the underlying technology blockchain of digital currency, the exploration of blockchain in various countries has continued. At present, the blockchain has made certain progress in the fields of electronic information deposit, product traceability, Internet of Things, and supply chain management. The relationship between the digital economy and the blockchain also presents a relationship between the table and the inside.

The G20 summit, blockchain and artificial intelligence (AI), big data, etc. as the basic technology of the next generation Internet, or will explore new ways.





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