Basel Committee consults on disclosure of banks’ cryptoasset exposures

The Basel Committee on Banking Supervision immediately revealed a consultative doc to observe on from its prudential customary on the therapy of cryptoasset exposures, finalised in December 2022.

Disclosure of cryptoasset exposures proposes a standardised disclosure desk and set of templates for banks’ cryptoasset exposures with a proposed implementation date of 1 January 2025.

Beneath the proposals, banks can be required to reveal qualitative info on their actions associated to cryptoassets and quantitative info on exposures to cryptoassets and the associated capital and liquidity necessities. Banks would even be required to supply particulars of the accounting classifications of their exposures to cryptoassets and cryptoliabilities.

The Committee expects {that a} frequent format for disclosures will help the train of market self-discipline and assist to cut back info asymmetry between banks and market individuals.

The Committee welcomes feedback from the general public and market individuals, together with the customers and preparers of disclosures, on all elements of the consultative doc, by 31 January 2024. All feedback can be revealed on the Financial institution for Worldwide Settlements web site except a respondent particularly requests confidential therapy.