However, one has to note that ‘default’ in payment is a lagging, not leading, indicator of financial stress of a borrower and the framework provides 180 days after a default to put in place a resolution plan.
4. International Standards and recommendation regarding Digital Assets Prudential Norms The Basel Committee on Banking Supervision has, on 13 March 2019, issued a Statement on Crypto-Assets wherein the Basel Committee opines that “the continued growth of crypto-assets trading platforms and new financial products related to crypto-assets has the potential to raise financial stability concerns and increase risks faced by banks.” The Basel Committee has accordingly set out its prudential expectations related to banks’ exposures to crypto-assets and related services.