🏦 US Deposit Insurance Corporation (FDIC) flags digital asset risks! 💻🔍 Decrypt reports the release of FDIC's annual risk report, which for the first time dedicates a stand-alone section to digital assets. A two-page risk assessment highlights concerns, including the complex nature of digital assets and their potential impact on the financial system. The report underscores risks like fraud, regulatory uncertainty, and nascent risk management practices. Notably, intertwined interests among cryptocurrency market participants could escalate risks for banks involved. The unpredictability of digital asset-related deposits is also discussed, citing the Silvergate Bank case as an example after the FTX collapse. A comprehensive analysis of the digital asset landscape and its implications for financial stability. 💼📊 #FDICRiskReport #DigitalAssetRisks #FinancialStability