Bank of Spain Deputy Governor: Widespread Use of Cryptocurrencies Could Bring Various Risks

 In golden financial news, Margarita Delgado, deputy governor of Spain’s central bank, said at an event called “Climate of Change” hosted by PricewaterhouseCoopers that 12% of Spanish citizens are expected to hold cryptocurrencies, and the continued and Widespread use could pose various risks to these individuals. Decentralized finance can lead to over-leverage and payment problems if cryptocurrency holders don’t know enough about the cryptocurrency. Furthermore, its high volatility could have a contagious effect on other markets as panic and overreaction can be transferred to other trading environments. Finally, Delgado said it was necessary to examine whether these investors were fully aware of the risks they faced, or were simply driven by sky-high revaluation expectations. (news.bitcoin)