Draft Resolution - Breaking Chains With Blockchain
Sponsors: Republic of India, French Republic, Federal Republic of Germany,
Federative Republic of Brazil, United States of America
Signatories:
Committee: International Monetary Fund
Topic: Should Cryptocurrency be made legal globally?
International Monetary Fund,
Welcoming all nations to assist each other in the collective adoption and
legalization of cryptocurrency as a financial asset,
Realizing cryptocurrency is subject to supply and demand and cannot be used as a
medium of exchange,
Concerned that cryptocurrency can be used for illicit activities and funding
terrorist organizations as the transactions do not have a check,
Bearing in mind that cryptocurrency mining utilises vast amounts of energy,
increasing the load on fossil fuels and leading to their alarmingly high rate of
depletion,
Convinced that the efficient regulation of cryptocurrency can benefit the global
economy as well as individual economies,
Recalling that the International Monetary Fund has been established to foster
global monetary cooperation, secure financial stability, facilitate international trade
and sustainable economic growth around the world,
Taking note of the fact that 10% of the global population or more than 700 million
people worldwide trade cryptocurrency,
Guided by the need to regulate and moderate cryptocurrency to protect consumers
from unregulated trading and frauds,
1) Emphasizes on the fact that cryptocurrencies will be legalized as financial
assets and not as a legal tender;
2) Encourages for the making a regulatory body, International Cryptocurrency
Regulatory Board, which:
a) Considers establishing and controlling entities which will provide
for investing, trading and exchanging of cryptocurrency, making
them verified,
b) Affirms that all individuals wishing to trade cryptocurrencies would
have to register with the regulatory body, as well as declare all their
future cryptocurrency transactions and profits or losses to the body;
c) Allows country to have regulatory access to the exchange of
cryptocurrency taking place within the nation and internationally as
long as the nation is included in the transaction
3) Declaring that the tax imposed on capital gains from cryptocurrency will be
regulated and pronounced by the respective governments of the member
states;
4) Expecting that power generated for cryptocurrency mining will be replaced
with renewable sources, including solar energy, wind power, hydroelectricity
and geothermal electricity, preventing environmental damage and the
depletion of fossil fuels;
a) Encourages countries financially capable to come together and fund
the establishment of renewable energy sources in underdeveloped and
developing countries which both lack the resources and money for the
same
5) Confident that the aforementioned regulations will lead to the creation of an
ethical and safe crypto-ecosystem, providing all users with the security and
transparency cryptocurrency grants, along with the safety and security of
their transactions;
6) Allowing the member states to receive veto power over cryptocurrency
trading in case of national emergencies, for a period of one week till the
emergencies are reviewed by the regulatory body, and if deemed as an
authentic emergency, can be extended.
