The International Monetary Fund directs Andorra to record and monitor Bitcoin transactions

The International Monetary Fund (IMF) has provided Andorra with technical advice on recording bitcoin transactions in response to their request for assistance. The IMF undertook a Technical Assistance (TA) mission in the Principality of Andorra in September 2023 with the aim of strengthening the country’s balance of payments statistics. This indicator mainly records economic transactions between residents and non-residents. Andorra needs technical assistance on 56 topics, one of which is the inability to record cryptocurrency transactions. Andorra’s financial regulator requires banks to approve in order to carry out such transactions, although no requests have been made so far. The IMF recommends monitoring crypto assets until 2024 and warns against the use of unsupported cryptocurrencies as national currencies. The IMF recommended Andorra to adopt a regional digital currency scheme, warning it not to rush into the introduction of a CBDC due to lack of preparation.