Bank of England: cryptocurrencies should be regulated before systemic problems arise

The Deputy Governor of the Bank of England said that the crypto industry is very quickly integrating into traditional finance, and therefore must be carefully regulated to protect retail investors and the financial system as a whole.. Jon Cunliffe called the crypto industry a “casino” and said that the British Central Bank is actively considering options for regulating the industry. Individuals should be able to securely trade digital assets as they do in traditional markets, the official said.. If people want to trade and exchange cryptocurrencies, they must have authorities that can protect them. The representative of the central bank believes that the crypto industry should be regulated as soon as possible, until the financial system and the economy are faced with new large-scale problems: “There are many investment funds, banks and other institutions from the field of traditional finance that want to participate in the development of the industry, want to invest. I think we should think about regulation before cryptocurrencies are firmly embedded in the established system and start causing problems.” Earlier, Bank of England analysts said that the development of the metaverse market is forcing global regulators to develop laws that prevent systemic risks for the financial system.