UNCTAD: There are many risks in the use of cryptocurrencies in developing countries.

[United Nations Conference on Trade and Development: There are many risks in the use of cryptocurrencies in developing countries] Jinse Finance reported that the United Nations Conference on Trade and Development (UNCTAD) urged restrictions on cryptocurrencies throughout developing countries in a series of policy briefings released on Wednesday. UNCTAD, which is part of the United Nations secretariat, said cryptocurrencies could inhibit the effectiveness of capital controls that developing countries typically use to ensure macroeconomic stability.

Stablecoins pose particular risks in developing countries with high demand for reserve currencies, UNCTAD said. The IMF has also expressed concern about the possible risks of cryptocurrencies as legal tender.

UNCTAD recommends regulation of cryptocurrency exchanges, digital wallets and decentralized finance. Financial institutions may also be prohibited from holding cryptocurrencies (including stablecoins) or offering related products. It urges global coordination among authorities on the taxation, regulation and information sharing of cryptocurrencies, and pushes to limit cryptocurrency advertising. Finally, it recommends redesigning capital controls to take into account the decentralized, borderless and anonymous nature of cryptocurrencies.

Other news:

News | Ethereum Hackathon will cooperate with UNICEF to develop a blockchain reward system: According to Cointelegraph, the Ethereum Hackathon ETHDenver will cooperate with UNICEF to develop a blockchain reward token system aimed at incentivizing Developers create projects that promote social good. [2019/1/31]

News | UN Women to Use Blockchain to Transfer Cash: UN Women will use blockchain technology to transfer cash in Jordanian refugee camps, according to a September 18 UN press release. It is reported that refugee women participating in UN Women's "cash for work" program will be able to receive remuneration directly without the help of third parties such as banks. The program will explore two ways that will allow participants to receive cash at WFP-contracted supermarkets, or to pay directly for the goods they buy. The new blockchain solution builds on a previous WFP project called Building Blocks, which allowed 76,000 Syrian refugees to buy food using iris scans instead of cash or cards. By scanning a participant's iris, it is possible to link to an account on the blockchain. [2018/9/21]

UN World Food Program Expands Blockchain Payments Pilot: The World Food Program is expanding its pilot of a blockchain payments system as the agency hopes to cut millions of dollars out of banks by moving to a distributed ledger based on the ethereum digital currency network Transfer fees. [2018/2/19]