Alarm about Crypto Move into Banking

Posted by & filed under Accounting Information Systems, Accounting Principles, Advanced Accounting, All Articles, Auditing, Behavioral and Social Issues Related to Accounting, Cost Accounting, Financial Accounting, Financial Reporting and Analysis, Financial Statement Analysis, Fraud Accounting, Intermediate Accounting, International Accounting, Managerial Accounting, Uncategorized.

According to the New York Times, with more companies offering cryptocurrency loans and high-yield deposit accounts Washington is worried about how this might disrupt the banking industry with a lack of regulations.

Questions:

  1. Which company was mentioned in the article as aspiring to be the J.P. Morgan Chase of cryptocurrency?
  2. What crypto platform temporarily lost $600 million of customer assets last month to hackers?
  3. What is the SEC doing about investigating cryptocurrency and other digital assets?
  4. What are “syrup pools”?
  5. In your opinion, what was the most interesting information in this article?

Source:

Lipton, E. and E. Livni (2021). Crypto’s Rapid Move Into Banking Elicits Alarm in Washington. New York Times, Sep. 5 (Retrievable at https://www.nytimes.com/2021/09/05/us/politics/cryptocurrency-banking-regulation.html)