Cryptocurrency News

Bank Of England Issues Warning Over Increasing Crypto Popularity.

The BOE [Bank of England] has issued a warning against the threat of crypto “spillovers” to mainstream financial markets in its latest bi-annual Financial Stability Report.

Within an official report published today on Tuesday, the U.K. financial institution pointed to bearish conditions within the cryptocurrency market since May that have seen the worth of Bitcoin [BTC] fall by around 50%.

Despite “spillovers to broader financial markets” from cryptocurrencies being limited, the BOE outlined that the growing interest in crypto assets by institutional investors, banks, and payments operators might be a concern.

“These developments could increase the interlinkages between crypto-assets and other systemic financial markets as well as institutions,” the report explained.

Crypto exposure among financial institutions has been highlighted as a threat earlier, with the Bank for International Settlements’ Basel Committee outlining earlier month that banks should put aside capital to hide losses completely.

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