Basel revises bank crypto capital plan to include blockchain

FILE PHOTO: Representations of the Ripple, Bitcoin, Etherum and Litecoin virtual currencies are seen on a PC motherboard in this illustration picture, February 14, 2018. REUTERS/Dado Ruvic/Illustration/File Photo

LONDON (Reuters) - Banks should take a conservative approach to setting aside capital to cover risks from "unbacked" crypto assets on their books, the global Basel Committee of banking regulators said in proposals on Thursday which now also cover blockchain.

Cryptoassets have tumbled in value in recent weeks partly triggered by the collapse of terraUSD, a stablecoin whose value was derived by complex algorithmic processes.