Odaily News Global regulator the Financial Stability Board (FSB) said in a report on Tuesday that more measures may be needed to prevent complex crypto companies like FTX from collapsing and destabilizing the wider financial system. The turmoil in the crypto market when FTX collapsed last year highlighted the vulnerabilities that “multipurpose” crypto firms that combine trading and other activities can exacerbate, similar to those in traditional finance, including leverage, liquidity mismatches, and technical and operational vulnerabilities. These vulnerabilities were further amplified by a lack of effective controls and operational transparency, inadequate or no disclosures and conflicts of interest, the report said. There is evidence that the threats to wider financial stability and the economy are currently limited. However, regulators should assess whether these measures are sufficient to prevent the risks of cryptocurrencies amplifying throughout the financial system, and further work may be needed to enhance cross-border cooperation and information sharing and address the information gaps mentioned in the report, the FSB added. (Reuters)