Services from “multifunction cryptoasset intermediaries” (MCIs) include things like lending and yield products, minus the protections that come with traditional financial institutions, according to the report issued Thursday (April 23) by the Bank for International Settlements (BIS).

“Customers may regard MCIs as safe places to hold their digital assets, yet in many jurisdictions these platforms operate without the prudential safeguards, such as capital and liquidity requirements, that typically apply to financial intermediaries engaged in comparable risk transformation,” the report said.

“For example,…