Many central banks around the world are concerned about the cryptocurrency market, and the European Central Bank issued a report yesterday that in order to better monitor the market, it is planning to use more data on the blockchain to meet the challenges of market growth. Currently, the European Central Bank has established a system to analyze the phenomenon of encrypted assets by using high-quality aggregated data on the Internet.
The report pointed out that the system is to monitor the impact of innovative financial technology, possible on monetary policy, and its potential risks to market infrastructure, payment, and financial stability. However, the European Central Bank has also noticed that using this method to use this data will limit its value, and there will be gaps and challenges. For example, cryptocurrency assets, custody service providers and payment platforms held by financial institutions have an opportunity to influence financial policies and stability.
The ECB pointed out that these public data from the market are still outside the radar of public institutions, and the data on some trading platforms may also be affected by the market-making transactions. When monitoring this data, it is difficult to review them with continuous methods and practices. At the same time, when there are cryptographic assets and related innovations, new data that is difficult to predict will also be added.
Therefore, the European Central Bank has indicated that it is planning to use more data from the blockchain to monitor the situation in the entire cryptocurrency market. As for other data submitted by platforms and service providers, they will continue to improve their usability and transparency, thereby obtaining more useful information to examine the cryptocurrency market.