Bitcoin prices recovered above $8,500 Monday as global regulators took a tempered approach to cryptocurrency regulation ahead of the G-20 meeting Tuesday. The Financial Stability Board, a global watchdog that runs financial regulation for G-20 economies, took a cautious tone in a letter to members Sunday, responding to calls from some countries to crack down on digital currencies.

“The FSB’s initial assessment is that crypto-assets do not pose risks to global financial stability at this time,” said Mark Carney, the chair of the Financial Stability Board, in the letter. Carney, who is also Governor of the Bank of England, pointed to the relative size of cryptocurrencies and said that “even at their recent peak, their combined global market value was less than 1 percent of global GDP.”

Bitcoin hit a high of $8,702.47 as of 4:20 p.m. ET Monday, more than $1,200 higher than where the cryptocurrency was trading a day earlier, according to CoinDesk. U.S. Treasury Secretary Steven Mnuchin and other leaders have indicated they plan to tackle the subject of cryptocurrency regulation during the summit in Buenos Aires, Argentina, that began Monday.

Cryptocurrency discussions will happen in a closed door session on Tuesday, a spokesperson from the G-20 told CNBC, and may be discussed at a subsequent press conference. While the FSB’s announcement didn’t take cryptocurrency regulation off of the table , it did support prices Monday, said Bart Stephens, co-founder and managing partner at Blockchain Capital.

“The G-20 news over the weekend helped crypto prices. Or at least, the G-20 news could have been a lot worse,” Stephens said. Read more from…

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