Bank of England confirms that digital currencies pose risks to the financial system


The Bank of England said in its Financial Stability Report released on Tuesday that digital currencies directly pose limited risks to the financial system in England, and that the market for digital currencies and related services continues to grow rapidly and is becoming increasingly more integrated within the country’s financial system

The bank added that the legal and regulatory frameworks, both at the local and global levels, need to keep pace with developments in these fast-growing markets in order to take risks and to maintain the confidence and integrity of the Prawerder in the financial system

The Bank of England’s Monetary Policy Committee has indicated that it will continue to pay close attention to developments including the relationship between digital currencies and the financial system, and that financial institutions must be more cautious and prudent to adopt any of the digital currencies