Emerging financial supervision (SupTech) technology applications have been increasing since the impact of the pandemic. During the COVID-19 outbreak, national competent authorities (NCAs) followed the same market trends that encouraged the adoption of new...
Past May, the third largest so-called stablecoin TerraUSD and its sister token Luna imploded, obliterating a combined market value once estimated at USD 60 billion. The crash of this algorithmic stablecoin -not backed by fiat money or other assets- due to an investor run hugely impacted the crypto sphere, wiping out more than USD 300 billion in market capitalization.
More recently, the collapse of the centralized cryptocurrency exchange FTX shook once more the trust in the overall crypto market. FTX was one of the world’s largest exchanges, with more than one million users trading nearly a billion dollars daily, according to CoinMarketCap. This bankruptcy was a textbook case of poor governance, opacity, weak risk management, and brazen fraud.