The Bank for International Settlements (BIS) presented a proof of concept for a dynamic mapping system of the circulation of digital assets.
In 2018, work on the Atlas project was initiated by specialists from the Dutch central bank.
The platform is designed to help authorities gain a clear picture of how, when and where cryptocurrencies are used.
The toolkit includes a number of dashboards. For example, the amount of BTC converted to fiat at a given time in specific parts of the world.
Atlas aggregates data from both public blockchains and off-chain sources such as exchanges and individual participants.
Reuters noted the relevance of the development amid growing regulator concerns about the ‘risks’ posed by cryptocurrencies due to their decentralized nature in light of the collapses FTX and Terra.
The platform’s data provide a rough picture of activity, as they do not fully cover wallets being created.
«Initial analysis shows that cross-border flows are economically significant and unevenly distributed across geographic regions», — BIS said.
Such macro statistics are valuable for central banks in the context of economic analysis and balance-of-payments statistics, the experts noted.
In some countries, crypto transactions can make up a significant portion of cross-border transfers. They are often difficult to quantify due to existing data gaps.
«Central banks need to gain an understanding of the risks and opportunities that cryptocurrencies pose for TradFi», — BIS said.
Access to the platform has been granted to a number of monetary regulators. Their feedback will form the basis for improving Atlas.
Earlier, BIS officials warned that vulnerabilities in the digital asset market could pose risks to financial stability in economies with developing market economies.
The BIS chief Agustín Carstens has urged governments worldwide to establish a regulatory framework for the adoption of central bank digital currencies.