IMF Urges Nepal Monitor Crypto as Usage Rises Despite Ban

The International Monetary Fund (IMF) urged Nepal to monitor cryptocurrency usage on March 12, 2024, citing a notable increase in adoption despite existing prohibitions. The IMF's warning highlights concerns about the potential risks associated with unregulated digital assets, including their use in illicit activities and the broader implications for financial stability. This advisory follows previous instances where the IMF has expressed apprehension regarding cryptocurrency adoption, notably its past disagreements with El Salvador concerning the nation's accumulation of Bitcoin. The fund's stance emphasizes the need for regulatory oversight to mitigate risks and ensure a stable financial environment, particularly in emerging economies where such technologies are gaining traction.