Risk assessment of crypto currency investment

Abstract

Crypto assets have grown rapidly in recent years, with the estimated market capitalization of these assets recently reaching new all-time highs. While the crypto market is still modest in comparison to the global financial system, and banks’ exposure to cryptos is now limited, its absolute size is significant, and rapid advancements continue to attract the attention of a wide range of stakeholders. Consumer protection, terrorist financing, money laundering as well as their carbon imprint, have all been raised as worries about crypto assets.