US Banking Watchdog Says Crypto Turmoil Reinforces Cautious Approach

“There are some vulnerabilities and risks in that space that do warrant a cautious and careful approach,” Hsu told reporters on a call about his agency’s Semiannual Risk Perspective released Thursday, which again highlighted digital assets as a space that could pose dangers to lenders in the U.S. The agency has been closely watching what’s been going on in the sector, including the sudden collapse of TerraUSD, officials said.