FSB.
The FSB's 2023 framework consists of two sets of recommendations: 9 high-level recommendations for crypto-asset activities and markets, plus 10 revised recommendations for global stablecoin arrangements. Together, they establish the global baseline for how digital asset platforms must manage systemic risk, protect consumers, and maintain financial stability.
AfriVest incorporates the FSB's recommendations with particular attention to three areas: financial stability monitoring (ensuring our platform cannot create systemic contagion), reserve transparency for stablecoins (full backing, independent audits, and real-time attestation), and systemic risk controls (circuit breakers, concentration limits, and stress testing).
How FSB Stability Framework Works
A structured, standards-based flow, designed to align with FSB at every step.
Risk Identification
The FSB framework requires continuous monitoring of interconnections between crypto markets and traditional finance, identifying concentration risks, leverage buildup, and contagion channels.
Reserve Management
Global stablecoins must maintain 1:1 reserves in high-quality liquid assets, with independent attestation and real-time transparency, preventing the collapse scenarios seen in 2022.
Governance & Controls
Platforms must have independent risk committees, board-level accountability for financial stability, and clear escalation procedures for stress events.
Stress Testing
Regular stress testing against extreme scenarios, bank runs, market crashes, liquidity crises, with pre-planned response procedures and adequate capital buffers.
Recovery & Resolution
Every platform must have a credible recovery and resolution plan, ensuring that even in failure, client assets are protected and systemic contagion is contained.
The core tenets of the standard.
The principles that define FSB, and how AfriVest is designed to align with them.
Same Activity, Same Risk, Same Regulation
Crypto-asset activities that pose equivalent risks to traditional finance must be subject to equivalent regulation, no regulatory arbitrage through technology relabeling.
Reserve Adequacy
Stablecoins must maintain full reserves in high-quality liquid assets, with independent attestation, real-time transparency, and clear redemption rights for holders.
Systemic Risk Monitoring
Platforms must monitor and report their interconnections with traditional finance, enabling regulators to identify and address systemic risk buildup before it materializes.
Governance & Accountability
Clear governance structures with board-level accountability for risk management, including independent risk committees and qualified compliance officers.
Operational Resilience
Robust technology infrastructure, business continuity planning, and cybersecurity measures, ensuring platforms can withstand operational disruptions without systemic impact.
Cross-Border Coordination
International cooperation between regulators to address the inherently cross-border nature of crypto-asset markets, preventing regulatory gaps and arbitrage.
FSB Financial Stability Architecture
How AfriVest manages systemic risk and ensures financial stability
Click any component to explore details
Infrastructure aligned with this standard.
AfriVest solution layers designed to align with FSB.
Explore the full compliance framework.
AfriVest is designed to align with a broad set of international standards. Explore the others across the framework.
