Fitch Ratings: US banks with high cryptocurrency exposure face risks.

PANews reported on December 9th, citing Cointelegraph, that international credit rating agency Fitch Ratings has warned it may conduct a negative reassessment of US banks with "significant" involvement in cryptocurrencies. In a report released Sunday, Fitch stated that while the integrated use of cryptocurrencies can improve fee income, yields, and operational efficiency, it also poses "reputational, liquidity, operational, and compliance" risks to banks. Fitch also noted that although regulatory progress in the US has created a safer environment for the cryptocurrency industry, banks still face numerous challenges in handling cryptocurrencies.

Fitch Ratings is one of the "Big Three" credit rating agencies in the United States, alongside Moody's and S&P Global Ratings. These agencies' ratings carry significant weight in the financial world, influencing perceptions of businesses and investment decisions from an economic viability perspective. Therefore, Fitch's downgrade of a bank heavily involved in cryptocurrencies could lead to decreased investor confidence, increased borrowing costs, and consequently, challenges to the bank's growth.