The Organization for Economic Cooperation and Development (OECD) considers that urgent policy action is needed for cryptocurrencies and that increased integration could cause wider financial crises.
In the report published by the OECD on 14 December, central finance applications (CeFi) decentralized finance applications (DeFi) lifeblood Although DeFis are expected to reach 2022 much more stable He claimed he had.
OECD, between the cryptocurrency market and traditional finance In case of further integration He pointed out that the next cryptocurrency crash could cause widespread financial crises. In addition, OECD financial engineering some of the applications objectionable found it.
The organization is very upset because of DeFi’s automatic purge feature. causing more problems expected, but on the contrary, many CeFi applications had problems in 2022 and this to clarify the CeFi/DeFi distinction. He stated that he pushed. CeFi is in many ways DeFi’s Bell vein Noting that the OECD both species have many problems in bear market He said that both of them may not be in compliance with the legislation.
On the other hand, the organization offers many new financial engineering solutions. derivative vehicle creation of the market bad that it affects and as derivatives increase moment amortization the waves are getting stronger stated. Especially the financial engineering products in the crypto money market. leverage that you increase attention was drawn.
About what are the many financial products that individual investors invest in sufficient not having knowledge pointing to the OECD, policy makers on this issue more effective called to be. For this reason, the organization believes that as crypto money markets integrate with traditional markets, the passivity of crises will increase. an urgent policy action stated that it should be done.