Recital 44

(44) Markets in crypto-assets have grown rapidly in recent years. To address potential risks for institutions caused by their crypto-asset exposures that are not sufficiently covered by the existing prudential framework, the Basel Committee on Banking Supervision developed a standard for the prudential treatment of crypto-asset exposures. Part of that standard concerns the risk management by institutions and the application of the supervisory review and evaluation process on institutions. Institutions with direct or indirect crypto-asset exposures or institutions that provide related services for any form of crypto-asset should be required to have risk management policies, processes and practices in place to appropriately manage risks caused by their crypto-asset exposures. In particular, in their risk management activities, institutions should consider the crypto-asset technology risks, general information and communication technology (ICT) and cyber risks, legal risks, money laundering and terrorist financing risks and valuation risks. Competent authorities should be able to take the necessary supervisory actions where the institutions’ risk management practices are deemed insufficient.

← Recital 43 · All articles · Recital 45 →

Source: EUR-Lex CELLAR · retrieved 2026-09-04 · Text as adopted (Official Journal); later amendments are not incorporated in this text.