The European Systemic Risk Board (ESRB) stated that new regulations may be needed, arguing that the ever-expanding cryptocurrency and decentralized finance (DeFi) sector poses risks.
ESRB, the financial watchdog affiliated with the European Union 25 May In its report published on decentralized finance industry is increasingly that you grew up pointed. institution, industry financial system for systemic One may be at risk of crisis. He underlined that there may be a need for new regulations regarding the limitation of
Currently on the market active the one which… high leverage And staking services arrangement must notable institution, besides these, DeFi developers to design smart contracts And the creation of in stages involving to certain regulations He also argued that it should.
In this context, the EU has recently to final approval Cryptocurrency market regulatory framework delivered to MiCA restrictive adding ingredients complying with the recommendations of the institution making the recommendation not mandatory also reminded.
However, the ESRB, MiCA’s licensing And reserve requirements addressing important issues such as loans, staking And lever like consumers And market important for pose a risk topics that outside that you left mentioned.
Cryptocurrency market and DeFi for turbulent In the report, which is stated to be one year, systematic results didn’t happen expressed. However exponential growth dynamics of in the future of Lehman Brothers Similar to the 2008 crash major threats It was also underlined that you can create At this point, systemic risks fast And unexpected even when it appears ESRB made by warnings was among.