#CardanoDebate Crypto
Financial Stability Board: Cryptocurrencies Are Approaching "Danger Zone"
The entry of individuals into the market and the greater interconnection with traditional financial institutions exacerbate the threats.
The Chair of the Financial Stability Board, Klaas Knot, stated that the risks of crypto assets could pose a serious threat to the financial system soon.
Knot, whose term as chair of the board ends at the end of this month, remarked: "At the Financial Stability Board, we have always emphasized that cryptocurrencies do not pose a risk to the system as a whole yet, but recent developments indicate that we may be approaching a turning point."
Knot pointed out in his statements released on Thursday from Madrid that stablecoin issuers "now hold large amounts of U.S. Treasury bonds, an asset class we need to monitor closely."