The new DEFI platform enters the market! Earn passively - token sale 0.25 $ I'm going in!

Washington raises concerns as consumers bank with crypto

3 min reading

The US Federal Reserve with other government bodies are currently going through so much to strengthen the financial turbulence caused by cryptocurrencies

The U.S Federal reserve with other governmental entities and officials are going through a lot to handle with the financial disruption which happened due cryptocurrencies move into bank and other financial services. There are officials who are trying to understand how to restrain what they see as a threat from an industry “whose short history has been marked as much by high-stakes speculation as by technological advances”. 

The times story notes efforts by the U.S Securities and Exchange Commission (SEC) to help the experts to help it handle with the exploding industry. Noticing that it can take at least a year to write rules or get Congress to act regulators could issue guidance in the interim. $600 million of hack of PolyNetwork singles out crypto lender BlockFi pointing out that company’s sudden development and legal troubles as well as decentralized finance (DeFi) “operates completely outside the regulatory system”. 

Crypto is the new shadow bank,” the article quotes U.S Sen. Elizabeth Warren (D-Mass). A vocal crypto critic as saying. “It provides many of the same services, but without the consumer protections or financial stability that back up the traditional system.” The articles stated that regulator is worried about the adequacy of the cash reserves and algorithms that support stablecoins in which many DeFi loans and deposits are denominated. Warren introduced the idea of cancelling U.S banks from holding the cash deposits that support many stablecoins. Fed Chairman Jerome Powell’s recent statement stated that a U.S CBDC “could undermine the entire crypto ecosystem.” 

There is an article mentioned that many traditional financial institutions are worried about disruption at the hands of DeFi but makes no mention that many are themselves initiated to give crypto services or that a number of crypto companies. Wyoming-based Avanti and Kraken are themselves looking for the right of being a regulated bank. 

Currency Exchange rate Buy cryptocurrency

Buy crypto now

Dear customer,

We use cookies to provide our services correctly and safely. Cookies are small text-based data sets that shall be saved on the device you are using in connection with the use of this instnat website. Cookies are created in order to ensure proper functioning of thes instant website. By clicking the button "I accept and go to the website", you implicitly agree to creation of the cookies on your computer and to deploy automatic tracking and data collection and processing on behalf of the Lushup Holdings FZ LEE. Click the above-captioned button is also tantamount to accepting website's privacy policy. Closing the notification by means of "X" is unequivocally connected with your consent. If you do not agree to any of the above, please discontinue using our Website.

“Cookies” shall make an identification of the software used by you and to customization of this instant website to your needs. Cookies contain the name of the domain from which they origin, duration of period of their storage on your computer and an assigned value.

Third party cookies:
We also use third-party cookies for the following purposes:

  • creating statistics - helping to understand the way Users use the Website, which allows to improve its structure and content with use of the analytical tools
  • defining a user profile - in order to display custom-tailored content in advertising networks.

External entities that might be source of any third-party cookies on this instant Website are as follows:

Using a settings of your web browser or by using pre-set configuration tools available in our service you can independently and at any time change the settings concerning your use of the “cookies”, specifying the conditionsof their storage and how your device is creating and downloading them. These settings can be changed to block the automatic handling of cookies in the settings of your web browser or inform about their placement on your device each time.

Detailed information about the options related to use of “cookies” is available in the settings of your software (web browser).

Service privacy policy

This instant document lays out the principles of the Privacy Policy on the website (hereinafter referred to as the "Website" or "Service"). The administrator of the Website is Lushup Holdings FZ LEE, Fujairah - Creative Tower, P.O.Box 4422 Fujairah, United Arabs Emirates.

The full document to read the Tokeneo privacy policy is available in this document.

Advanced settings can be changed in your browser.