EU regulators warn: US push for crypto-friendly policies may exacerbate risks in the TradFi system.

PANews, April 1st news, according to CoinDesk, the joint report released on April 1st by three major EU regulatory bodies, including ESMA, pointed out that the increasingly crypto-friendly policy stance of the United States is deepening the correlation between crypto assets and the traditional financial market, which may increase systemic risk. The report mentioned that the expectations of deregulation policies in the U.S. are pushing up the Fluctuation of crypto valuations, and if there is a lack of corresponding safeguards, it may trigger negative spillover effects in traditional finance. ECB officials also called for the development of a digital euro to address the high Fluctuation of crypto assets and the global expansion of dollar-dominated stablecoins.