BoE speaks on technical innovation from crypto to real

Sir Jon Cunliffe has spoken on innovation, and specifically the risks and opportunities of crypto-assets, in post trade services.  He noted the importance of bringing crypto-assets and activities within regulation before, not after, they become a problem that creates risks for the wider financial system and become systemically important. He said we are moving to a time where we cannot just focus on assets and platforms in the cryptoworld, but must now look at how technologies developed for crypto now come into the “real” world and the potentially disruptive effect of these technologies on market infrastructure. His speech focussed on post-trade infrastructure, looking at the opportunity, risk and provision of public infrastructure.  He concludes that regulators should embrace developments and not conclude that everything new is dangerous, but should be alive to the risks as well as the opportunities technological innovation presents.