Erik Feyen, Daniela Klingebiel and Marco Ruiz

THE WRITERS ARE FROM THE WORLD BANK. ERIK FEYEN IS HEAD OF GLOBAL MACRO-FINANCIAL MONITORING AND LEAD FINANCIAL SECTOR ECONOMIST; DANIELA KLINGEBIEL IS SENIOR ADVISER AND INVESTMENT AND GOVERNANCE EXPERT; AND MARCO RUIZ IS MANAGER OF ADVISORY AND PARTNERSHIP.

 Cryptoassets have posted strong historical returns, sometimes outperforming traditional assets. But these returns come with extreme volatility and risk – features central banks avoid in their reserve strategies.
THE BOTTOM LINE

Crypto has a long way to go

The World Bank presents a framework for evaluating cryptoassets in reserve management