The Bank for International Settlements is warning that large cryptoasset service providers are increasingly operating like multi-function financial intermediaries, with products that resemble deposit-taking, lending, market-making and derivatives activities. 

Firms engaged in these functions, the BIS said, should face prudential requirements including capital and liquidity buffers, governance standards, risk management and stress testing, signalling a potential regulatory push as crypto firms become more entwined with traditional finance.