Tobias Adrian, head of the department of monetary systems and capital markets of the International Monetary Fund (IMF), believes that the cryptocurrency market is waiting for a fall in the event of a recession in the economy.
According to him, there might be a further sale of crypto assets and shares by investors, as well as the possible collapse of various algorithmic stablecoins.
The IMF spokesman has noted some “stablecoins” that are not fully backed by cash are at greater risk. For example, USDT lost its peg to the US dollar for a short time amid the collapse of TerraUSD.
A recent IMF report states the massive sell-off in the cryptocurrency market has not really affected the global financial system.
However, Adrian has noted the need for regulation to protect investors.
