LONDON : Banks should take a conservative approach to setting aside capital to cover risks from"unbacked" crypto assets on their books, the global Basel Committee of banking regulators said in proposals on Thursday which now also cover blockchain.
As a result, regulators like the Basel Committee are worried about the potential risks to the financial system from the lightly regulated crypto sector even though it is still small relative to the size of global stock, bond and derivatives markets. The Committee's proposal said cryptoassets which are not backed by assets like traditional currencies, and stablecoins that do not have effective stabilisation mechanisms, should continue to be subject to a conservative prudential treatment with regard to capital set aside for potential losses.In June last year, Basel had published a first consultation on the crypto sector, which proposed that banks must hold enough capital to cover losses on any bitcoin holdings in full.
The latest Basel proposals include new elements such as extra capital to cover"evolving risks" from distributed ledger technologies or blockchain, which underpins cryptoassets.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:
Singapore Latest News, Singapore Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Three Chinese companies plan Swiss, London listingsSHANGHAI : Three Chinese companies - a chip maker, a beverage producer and an electronic firm said on Wednesday they plan to issue Global Depository Receipts (GDRs) on overseas stock exchanges, in a bid to broaden their financing channels and ramp up global expansion.Will Semiconductor Co Ltd Shanghai and
Source: ChannelNewsAsia - 🏆 6. / 66 Read more »
Singapore-based crypto hedge fund Three Arrows Capital has entered liquidation, source saysLONDON — Crypto hedge fund Three Arrows Capital (3AC) has entered liquidation, a person familiar with the matter told Reuters on Wednesday (June 29), in the latest sign of the market downturn hurting the crypto industry. Singapore-based 3AC is one of the higher profile crypto investors to have run into difficulties following the sharp sell-off in the market for digital... Here goes 'crypto Disneyland' 🤣🤣🤣
Source: asiaonecom - 🏆 10. / 59 Read more »
Source: BusinessTimes - 🏆 15. / 51 Read more »
Crypto hedge fund Three Arrows Capital has entered liquidation, source saysLONDON : Crypto hedge fund Three Arrows Capital (3AC) has entered liquidation, a person familiar with the matter told Reuters on Wednesday, in the latest sign of the market downturn hurting the crypto industry.Singapore-based 3AC is one of the higher profile crypto investors to have run into difficulties Gone to bits
Source: ChannelNewsAsia - 🏆 6. / 66 Read more »
Source: BusinessTimes - 🏆 15. / 51 Read more »
Crypto hedge fund Three Arrows Capital has entered liquidation, source saysCrypto hedge fund Three Arrows Capital (3AC) has entered liquidation, a person familiar with the matter told Reuters on Wednesday, in the latest sign of the market downturn hurting the crypto industry. Singapore-based 3AC is one of the higher profile crypto investors to have run into difficulties following the sharp sell-off in the market for digital currencies seen in recent months. Crypto broker Voyager Digital issued 3AC with a default notice on Monday after it failed to make payments on a loan of 15,250 bitcoin (approximately $324 million) and $350 million worth of USDC, a stablecoin.
Source: YahooSG - 🏆 3. / 71 Read more »