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The International Bank of Settlements (BIS) says that the biggest digital currency platforms are now acting like major banks. they take money similar to deposits without facing safety rules.
A new paper from the Financial Stability Institute (FSI) describes the largest providers of currency services.
The problem of shadow banks in digital currencies
The 38-page report describes how to transfer programs the return Al-arbah ownership of customer assets to the provider. This structure creates short-term repayable obligations that behave like deposits. There is no equivalent to the security of deposits or lines of central banks for currency holders.
Lending with interest, trading in derivatives, and issuing tokens increase the risk of credit and credit checks, and according to the authors, this mixture produces the same entitlement and equity transformation associated since long-term interest in shadow banking services. The relevant guarantees do not apply.
The paper refers to the collapse of the Celsius network and FTX In 2022 as a kind of early warning. Authors add finish The sudden event in October 2025 to the list. That one event cost about 19 billion dollars from financial raising centers (الرافعة المالية).
Political fiascos and cross-border obstacles
Transparency is a fundamental weakness. See the terms and conditions of several major providers between November 2025 and March 2026 and March 2026. None of them publish financial data or explain how to publish customer accounts.
The authors recommend a combination of organizational structure and activity. Cross-border supervisory cooperation will include lending and borrowing activities that fall outside the scope of the cooperation, indicating that limited supervisory resources and weak reporting standards are still a hindrance.
The connection makes the risks worse. Many brokers trade, lend, and save assets to each other. The pressure in one large company can pass through the sector within days. Institutional investors have already started moving booking out of stock to limit exposure.
Major digital currency companies are delving into traditional finance. the paper is pointing BIS Until the regulatory authorities are no longer able to treat them as simple trading platforms. The question is how quickly the national authorities move from diagnosis to binding rules.