The bank for international establishments (BIS) faces strong criticism of the cryptographic industry following its latest report arguing for a stricter separation between digital assets and traditional finance.
Christopher Perkins, president of the investment company Blockchain Coinfund, described the recommendations of the bis “dangerous” and “uninformed”, warning that they could turn against the global financial system.
In an article of April 19 on X, Perkins responded to the April 15 report of the bis entitled “Cryptocurrencies and decentralized finances: functions and implications of financial stability”.
The president of Coinfund explodes the strategy of “confinement” as well discharged and focused on fear
He criticized the appeal of the report to an approach to “confinement” of cryptocurrencies, arguing that it reflects fear and a fundamental misunderstanding of technology.
“Crypto is not communism,” wrote Perkins. “It is the new Internet that offers anyone access to connection to financial services. You cannot control it more than you control the internet. ”
Perkins warned that the isolation of the cryptographic ecosystem could introduce major liquidity risks to the broader financial system, especially since cryptographic markets work 24/7 while traditional financial systems are limited by hours of negotiation.
“If it is implemented, (these policies) will provoke – and not attenuation – the systemic risk they seek to prevent,” he said.
THE @Bis_org I have just published a new article, “Cryptocurrency and Decentralized Finance: Functions and Financial Stability Implication”. The good news is that the authors finally realize that progress in crypto (including the growth of ETF, stablecoins and the real tokenized world …
– Christopher Perkins
NYC (@ perkinscr97) April 19, 2025
NYC (@ perkinscr97) The BIS report has expressed concerns about the rapid growth of crypto and deffi markets, warning that capital influx and users could destabilize traditional markets and increase the risks of investors.
Perkins a counters that DEFI in fact offers improvements in relation to traditional finances, including greater transparency and reduced dependence on centralized intermediaries.
Tackling the discomfort of the bis with the anonymous development of Defi, Perkins argued that many Tradfi institutions do not publish their lists of developers either.
“Of course, public companies offer a certain degree of disclosure and transparency, but they seem to die in favor of private markets,” he said.
He also challenged BIS warnings concerning stable and potentially undergoing monetary policy in countries like Venezuela and Zimbabwe.
“If there is a request for stablescoins USD and it helps to improve the condition of anyone in the developing world, it may be a good thing,” noted Perkins.
Perkins was not alone in his criticism.
Christian Catalini, co -founder of Lightspark, described the position of the bis as obsolete, comparing it to “the drafting of parking regulations for a fleet of autonomous drones – serious work, two steps behind”.
American crypto owners expect less regulation
In the United States, the application of cryptocurrency laws could facilitate the next administration of the Republican president elected Donald Trump, with regulatory priorities that should change.
Speaking at a legal conference in New York, current lawyers and former government said that although financial fraud cases are still prosecuted, the emphasis put by the Ministry of Justice will probably evolve towards the application of immigration, a promise of Trump’s key campaign.
Scott Hartman, co-chief of the working group on securities and raw materials at the American prosecutor’s office in Manhattan, revealed that fewer resources will be allocated to the police of cryptocurrency crimes.
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