Leaders.com
  • Login
  • Subscribe
  • Business
  • Leadership
  • Wealth
  • Master Classes
  • Business
    • Entrepreneurs
    • Executives
    • Marketing and Sales
    • Social Media
    • Innovation
    • Women in Business
  • Leadership
    • Personal Growth
    • Company Culture
    • Public Speaking
    • Productivity
    • Hiring
    • Social Issues
    • Leaders
  • Wealth
    • Investing
    • Cryptocurrency
    • Retirement
    • Venture Capital
    • Loans and Borrowing
    • Taxes
    • Markets
    • Real Estate
  • Master Classes
  • Login
  • Subscribe
Cryptocurrency Three financial agencies warn banks of the inconsistencies and concerns with crypto assets

Three financial agencies warn banks of the inconsistencies and concerns with crypto assets (Photo By Bill Clark/CQ-Roll Call, Inc via Getty Images)

By Savannah Young Leaders Staff

Savannah Young

Savannah Young

News Writer

Savannah Young is a news writer for Leaders Media. Previously, she was a digital reporter for WATE Channel 6 (ABC)...

Full bio


Learn about our editorial policy

Jan 4, 2023

Banks Warned About Crypto

Three financial agencies warn banks of the inconsistencies and concerns with crypto assets.

Key Details

  • The Federal Reserve, the Office of the Comptroller of the Currency, and the Federal Deposit Insurance Corporation (FDIC) released a joint statement warning banks of eight cryptocurrency risks.
  • The eight highlighted risks…
  • Risks of fraud and scams
  • Legal uncertainties
  • Misleading representations by crypto-asset companies
  • Significant volatility of the sector
  • Susceptibility of stablecoin risks
  • Contagion risks
  • Lack of maturity in governance practices
  • Heightened risks associated with open, public, and decentralized networks
  • The federal agencies are warning banks that cryptocurrencies are inconsistent with safe banking practices and banks should be wary.

Why it’s news

Cryptocurrencies are a relatively new market that has had a rough time in the last year. The market is relatively unstable and has little to no regulation, and now major financial agencies are warning banks of the risks associated with digital assets.

The Fed, the Office of the Comptroller of the Currency, and the FDIC released a joint statement warning banks of the top eight risks related to crypto assets.

“Based on the agencies’ current understanding and experience to date, the agencies believe that issuing or holding as principal crypto-assets that are issued, stored, or transferred on an open, public, and/or decentralized network or similar system is highly likely to be inconsistent with safe and sound banking practices,” the joint statement reads. 

The eight risks include many risks that have been discussed in the crypto space for the last few years, including the risk of contagion, which has been seen recently with the fall of the crypto exchange FTX.

Banks have feared crypto due to the high volatility of the sector, and following this warning from the financial institutions, it wouldn’t come as a surprise if more banks stayed reluctant to provide finances for cryptocurrencies.

Home / News / Banks Warned About Crypto
Share
FacebookTweetEmailLinkedIn

Related Stories

Side Hustles—One Answer To a Recession

by Hannah Bryan Leaders Staff
Business

3 hours ago

side hustle

More Americans are working extra jobs, or side hustles, to create additional cash flow while expenses rise.

Key Details

  • A 2022 survey from Insuranks found that 93% of Americans have some sort of side hustle in addition to their full-time or part-time job. 
  • Of those who work side hustles, 80% have a full-time job. Both full-time and part-time workers say they dedicate 13 hours per week to their side hustle. 
  • Though a side hustle cuts into available free time and may add some stress, the majority of respondents planned to continue working the side hustle and say the inconvenience was worth it. 
  • Most people working side hustles are doing so to have extra cash, whether that cash is needed to pay for necessary expenses or for spending money. 
  • However, working a side hustle can have its downsides. Depending on the side hustle, a worker may need additional insurance or pay more taxes. 

Go deeper

FacebookTweetEmailLinkedIn

Apple Heads To Hollywood 

by Tyler Hummel Leaders Staff
Entertainment

6 hours ago

AppleTV+ is shifting its attention from streaming exclusivity to the releasing first-run feature films into the theaters. 

Key Details

  • Apple is planning to spend $1 billion annually to produce theatrically released films, anonymous sources tell Bloomberg. 
  • This marks a change for AppleTV+ plus, which has exclusively released its content on its streaming service, a move that could bring greater brand awareness to the smaller platform. 
  • The company already has several high-profile exclusives set to release this year, including Martin Scorsese’s Killers Of the Flower Moon and Ridley Scott’s Napoleon—which could see these potential Oscar contenders receiving theatrical releases. 
  • AppleTV+ reportedly has between 20 million and 40 million subscribers, making it one of the smaller contenders in the “streaming wars.”  

Go deeper

FacebookTweetEmailLinkedIn

DOE Bets On Risky Energy

by Savannah Young Leaders Staff
Environment

Mar 25, 2023

ARPA-E Fast Pitch - Dr. Jenifer Shafer, Dr. Robert Ledoux, and Dr. Ahmed Diallo

The Department of Energy (DOE) is hosting its annual ARPA-E, or Advanced Research Projects Agency–Energy, conference with many innovations focusing on carbon reduction.

Key Details

  • ARPA-E funds risky energy projects that have difficulty receiving private sector investment.
  • The agency has given out some $3.3 billion to more than 1,400 projects since 2009, according to Bloomberg writer Ari Natter.
  • ARPA-E projects have led to some $11 billion in private sector funding, the formation of 131 companies, and 934 patents, according to the Energy Department.
  • Recent efforts showcased at the conference focus on decarbonization, including microbes that can absorb elements needed for batteries and carbon-negative cement.

Go deeper

FacebookTweetEmailLinkedIn
An attendee tries Google Glass during the Google I/O developer conference on May 17, 2013 in San Francisco, California.
Business

Mar 25, 2023

Tech Too Good To Be True

by Savannah Young Leaders Staff
Productivity

Mar 24, 2023

Working Nine To Five … Well, It’s Not That Simple

by Hannah Bryan Leaders Staff
OpenAI, the parent company of ChatGPT, CEO Sam Altman, has acknowledged the AI risks and potentially dangerous outcomes of ChatGPT
Business

Mar 24, 2023

Companies Scrambling For A.I. Regulation

by Savannah Young Leaders Staff

Recent Articles

Leadership

Mar 22, 2023

Creating Loyal Employees Is About More Than Just the Paycheck

If you think simply paying your employees more will gain their loyalty, think again.

Business

Mar 20, 2023

Worried About ADHD At Work? Here’s How It Might Actually Help You

Neurodivergent people often have a high level of creativity and innovative thinking.

Productivity

Mar 17, 2023

Unlocking Your Inner Drive: How to Motivate Yourself

Make real progress by trying out these techniques for boosting your self-motivation.

  • Business
  • Leadership
  • Wealth
Join the Leaders Community

Get exclusive tools and resources you need to grow as a leader and scale a purpose-driven business.

Subscribing indicates your consent to our Terms & Conditions and Privacy Policy

Leaders.com
  • Privacy Policy
  • About
  • Careers
  • Cookie Policy
  • Terms
  • Disclosures
  • Editorial Policy
  • Member Login

© 2023 Leaders.com - All rights reserved.

Search Leaders.com