- “Next to Bitcoin, Ether, Ripple, Bitcoin Cash are considered the most important in terms of usage,” ECB states.
- Cryptos are not a risk to the current financial states but need to be monitored.
In a recent report released by the European Central Bank covering the implications of crypto assets in relation to financial stability, monetary policy, market structure as well as payments, Bitcoin, Ethereum, Ripple, and Bitcoin Cash have been considered as the most vital when it comes to usage. The report states:
“Bitcoin continues to lead the pack of crypto-assets in terms of market capitalization, user base, and popularity. There exist around 1,900 crypto-assets, up from 7 in April 2013. Next to Bitcoin, Ether, Ripple, Bitcoin Cash are considered the most important in terms of usage, market capitalization or business model diversity.”
The report also attempted to come up with a definition of crypto assets. It highlighted the current developments in the space and touch on the impact they would have on the world’s economy. As reported by Invest In Blockchain:
“A crypto-asset is defined as a new type of asset recorded in digital form and enabled by the use of cryptography that is not and does not represent a financial claim on, or a liability of, any identifiable entity.”
The ECB mainstains that cryptocurrency market does not pose any risks to the current financial state. However, the industry needs constant monitoring to ensure that authorities are ready to deal with any adverse scenarios.