The deputy governor of the Bank of England has warned of the need to regulate cryptocurrency following the collapse of the FTX exchange.
FTX filed for bankruptcy protection on Nov. 11 as CEO and founder Sam Bankman-Fried resigned.
Sir Jon Cunliffe told an audience at a Warwick Business School event on Monday: “While the crypto world, as was demonstrated during last year’s crypto winter and last week’s FTX implosion, is not at present large enough or interconnected enough with mainstream finance to threaten the stability of the financial system, its links with mainstream finance have been developing rapidly.”
Cunliffe said: “We should not wait until it is large and connected to develop the regulatory frameworks necessary to prevent a crypto shock that could have a much greater destabilising impact.”…