The managing director of the International Monetary Fund (IMF) believes that wider use of cryptocurrencies could be one of the consequences of the war between Russia and Ukraine.
In a new Financial Times (FT) report, Gita Gopinath, first deputy managing director of the IMF, said that widespread international sanctions imposed on Russia could disrupt the existing world economic order.
Gopinath believes crypto-assets, central bank digital currencies (CBDC) and stabelcoins could become more popular.
“All of this is going to get even more attention after recent episodes that bring us to the issue of international regulation. There’s a gap there that needs to be filled,” she added.
Gopinath also said that the dominance of the U.S. dollar will weaken as a result of sanctions imposed by the United States in response to Russia’s invasion of Ukraine on Feb. 24.