image credit: Unsplash

US agencies outline risks of crypto to banking system

January 5, 2023

The agencies say they have “significant safety and soundness concerns” with business models that are concentrated in crypto-asset-related activities or have exposure to the crypto-asset sector.

As a result, in a year marked by “significant volatility” in the cryptosphere, the agencies have highlighted a number of “key risks” that banking organisations should consider.

Among these risks are frauds and scams, legal uncertainties around custody practices and ownership rights, significant volatility in crypto-asset markets, and risks associated with wider decentralised finance networks.

Read More on FinTech Futures