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The following text is based on a written assignment in progress.

Users and supporters of DLT as cryptocurrencies can often have an impression that international institutions are negative, skeptical and against both the usage and existence of such technology. This depends much on the fact that institutions as IMF, WTO and WB have representatives seeing positively on how certain parts of DLT could be used in their regular work as serving humans, and making projects and policies. The situation is however more nuanced and ambiguous since such institutions can also communicate about DLT in ways that are seen as positive and favorable.

After all, there are functional reasons for that since international institutions need to keep themselves updated, upgrade their working methods, and improve efficiency and outreach, be able to convince national governments and people around the world why their function is stll necessary. One can say that by making analysis,  communication, and regulatory proposals regarding DLT, such institutions are also using DLT as a reason for their functional and institutional existence.

One interesting thing is that in many cases it seems that the mentioned institutions started showing higher interest in crypto after 2015 while interest in Bitcoin and other currencies was lower as during 2010 or 2012. One example is that in 2017 The World Bank Group created the World Bank Group Blockchain Lab later renamed to Technology and Innovation Lab of the World Bank by focusing on the usage of disruptive technology for poverty reduction projects,  land administration, supply chain management, health, education, cross-border payments, and carbon market trading.

One area where the usage of blockchain among international institutions is common is regarding humanitarian law and operations where blockchain is used as for actions in refugee camps  to track cash entitlements that are disbursed by the World Food Program (WFP). According to official communication, the WFP has eliminated the dangers of carrying cash by transferring cryptocurrency directly to refugees, something that has also made it easier to track payments. Thereby, crypto and blockchain can provide help to eliminate paperwork such as passports, exam certificates, and financial histories.

The UN-system is in several ways already positive and satisfied with the usage of blockchain since benefits and advantages are regarded as larger than problems and disadvantages such as reducing transaction costs,  increasing cooperation, improving communication,  enabling better integration between private and public actors, making better storage of information, enabling smart contracts and tokens, and making a better impact and difference on the ground as in refugee camps and agricultural areas.

The UN is also recommending to all member states to engage with the United Nations Commission on International Trade Law in its exploratory and preparatory work on legal issues that relate to blockchain in the broader context of the digital economy and digital trade, including on dispute resolution, which is aimed at reducing legal insecurity in that field. It is worth mentioning that a similar position about trade and blockchain can be found within the World Trade Organisation, for example with statements that blockchain is a game changer and could make international trade smarter, but that is a process also demanding smart standardization.

The current situation when it comes to the impact of DLT globally is that both cryptocurrencies an blockchain are seen as contributors to the new process of globalization. Such arguments and positions are already presented by academics and pundits around the world. For example, Karen Self argues that when it comes to trade in Africa is based on the usage of 54 national currencies, and with many people who do not have access to banks, blockchain technologies can help and give more affordable solutions as well as give access with the use of a telephone and blockchain also does not discriminate between gender, ethnicity, income bracket, occupation and the color of your skin as many financial institutions do. 

Another example is Garry Jacobs who argues that  since cryptocurrencies it is about integrating money and humans across the world the regulatory challenges DLTs represent interact with the determinative role that international institutions can play in the management and regulation of this new form of money. The situation is also the decentralized nature of cryptocurrencies as being governed by fixed computer algorithms prevents any nation from shutting down the network or altering its technical rules. Thereby, the case since national governments nor the mentioned international institutions have no control over either the creation of cryptocurrencies or the interest rates at which they are borrowed and lent. 

Furthermore, according to Jacobs, at the global level, cryptocurrencies will have the same effect and rationale as the Euro and  Eurozone formation had as regarding economic integration and elimination of the high transaction costs. Thereby, it is not surprising that even  Christine Lagarde, Managing Director of IMF, stated that “the technology behind these assets—including blockchain—is an exciting advancement that could help revolutionize fields beyond finance. and in the process empower millions in low-income countries”. This statement is can also be connected to much of the IMF's official communication about cryptocurrencies as something that more people will use in the future and can contribute to easier financial transactions and behaviours. Thereby, the IMF can be seen as among the most positive and optimistic ones, especially when compared to FATF and BiS. One may wonder if the IMF wants to see itself as the future global regulator of DeFi?

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