By Huw Jones
Certain tokenised traditional assets and stablecoins could, however, come under existing capital rules and be treated like bonds, loans, deposits or commodities.
Earlier this month TerraUSD, a stablecoin tied to the U.S. dollar, collapsed.
“Building on the feedback received by external stakeholders, the Committee plans to publish another consultation paper over the coming month, with a view to finalising the prudential treatment around the end of this year.”
Countries which are members of Basel are committed to applying its agreed principles in their own national rules.
“The principles, which will be published in the coming weeks, seek to promote a principles-based approach to improving risk management and supervisory practices to mitigate climate-related financial risks,” Basel said.
Treating their intra-euro zone exposures as domestic, which attracts lower capital charges than non-domestic exposures, should reduce the size of the extra capital buffer requirements for some euro zone lenders.
The European Central Bank, which regulates big euro zone lenders, said it was a step toward a more integrated banking sector in Europe and the creation of a truly domestic market.
Fitch Ratings said last December the change could see some banks like BNP Paribas drop out of the extra global buffer requirement altogether.
(Reporting by Huw Jones; editing by Jonathan Oatis)