IMF Working Papers

On Cross-Border Crypto Flows: Measurement Drivers and Policy Implications

By Pamela Cardozo, Andrés Fernández, Jerzy Jiang, Felipe D Rojas

December 20, 2024

Download PDF More Formats on IMF eLibrary Order a Print Copy
More formats on IMF eLibrary Order a Print Copy

Preview Citation

Format: Chicago

Pamela Cardozo, Andrés Fernández, Jerzy Jiang, and Felipe D Rojas. "On Cross-Border Crypto Flows: Measurement Drivers and Policy Implications", IMF Working Papers 2024, 261 (2024), accessed December 23, 2024, https://doi.org/10.5089/9798400294501.001

Export Citation

  • ProCite
  • RefWorks
  • Reference Manager
  • BibTex
  • Zotero
  • EndNote

Disclaimer: IMF Working Papers describe research in progress by the author(s) and are published to elicit comments and to encourage debate. The views expressed in IMF Working Papers are those of the author(s) and do not necessarily represent the views of the IMF, its Executive Board, or IMF management.

Summary

Cross-border crypto flows (CBCFs) are not systematically measured and are poorly understood. After defining CBCFs and the channels through which they materialize, we review the various approaches to measure them through two case studies. We also quantify the dynamics and drivers of CBCFs through a push/pull factor SVAR model. We find an increasingly large volume of CBCFs, although considerable heterogeneity remains across estimates. Furthermore, CBCFs are more sensitive to push factors than regular capital flows. Our findings call for accurate and comprehensive measurement and monitoring of CBCFs and the need to rethink capital account restrictions in a more digitalized world.

Subject: Balance of payments, Capital flows, Central bank bills, Central Banks, Foreign exchange

Keywords: Capital account restrictions, Capital flows, Capital flows, Central bank bills, Cross-border flows, Crypto assets, Global, Measurement, Push-pull factors

Publication Details

You May Also Be Interested In...

Costa Rica: Post Financing Assessment-Press Release; and Staff Report

December 23, 2024

How Has Dollarization Served Timor-Leste So Far?

December 20, 2024

Islamic Republic of Mauritania: Staff Report for the 2024 Article IV Consultation, Third Review Under the Arrangements Under the Extended Credit Facility and Extended Fund Facility, Request for Modification of Quantitative Performance Criteria, and Second Review Under the Resilience and Sustainability Facility Arrangement-Press Release; Staff Report; and Statement by the Executive Director for the Islamic Republic of Mauritania

December 20, 2024

Ukraine: Sixth Review Under the Extended Arrangement Under the Extended Fund Facility, Requests for Modification of a Performance Criterion, and Financing Assurances Review-Press Release; Staff Report; and Statement by the Executive Director for Ukraine

December 20, 2024