Cryptocurrencies spent much of Tuesday 9th October in a sea of red, with falls across the board for the major cryptocurrencies.
There was a general malaise in the markets today as stocks finished lower amid rate concerns. Helping to spur a bear run on altcoins, was talk of how the fast growth of crypto poses certain risks.
International Monetary Fund Warns of Crypto Cyber Risk
In its new World Economic Outlook released today, the IMF (International Monetary Fund) warned investors and governments about the number of risks the global financial system faces with crypto assets listed as an increasingly common factor. The IMF wrote:
“Cybersecurity breaches and cyberattacks on critical financial infrastructure represent an additional source of risk because they could undermine cross-border payment systems and disrupt the flow of goods and services. Continued rapid growth of crypto assets could create new vulnerabilities in the international financial system.”
Previously the International Monetary Fund had been dismissive of the risk posed by the rise of crypto. However, with a number of high profile cases of crypto being linked to different types of criminal activity, it has become clear that crypto’s use in high level financial crime could not be ignored.
In its statement, the IMF said:
“Increased cybersecurity risks pose challenges for financial institutions, financial infrastructure, and supervisors. These developments should act as a reminder that the financial system is permanently evolving, and regulators and supervisors must remain vigilant to this evolution and ready to act if needed.”
ICOs Down to 14 Month Low
Questions are being raised over the state of the ICO world as it was revealed in a report by Anonymous Research that the money raised in September was the lowest since May 2017. September’s investment of less than $300 million is a 90% decline since the start of the year, and a long way from the $2.4 billion raised in January earlier this year.
