Low Capitalization, Institutional Exposure Make Crypto Low Risk, Says Dutch Gov’t Report
Cointelegraph
Published May 30, 2018 09:54PM ET
Updated May 30, 2018 11:02PM ET
Low Capitalization, Institutional Exposure Make Crypto Low Risk, Says Dutch Gov’t Report
A branch the Dutch government has recently released an economic risk report, claiming that cryptocurrencies present a low risk to financial stability in the country, according a report published on May 29. The report was prepared and published by the CPB Netherlands Bureau for Economic Policy Analysis (CPB).
The CPB states in the report that at the current time, cryptocurrencies pose a low risk to the financial system due to the low level of capitalization, as well as the limited involvement of traditional financial institutions and systems. The CPB separately noted the problems associated with crypto’s use in crime financing, fraud, high crypto market volatility, and the energy consumption of crypto mining.
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Written By: Cointelegraph
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