According to a top Bank of England official, Bitcoin and other cryptocurrencies might catalyst the next financial crisis.

Sir Jon Cunliffe, the deputy governor of the Bank of England, warned in a speech yesterday that a significant drop in the price of cryptocurrencies to zero is "certainly a plausible scenario" and that there is "a possibility of contagion" across the global financial industry.

According to Cunliffe, individual investors would be struck hard if cryptocurrencies crash, but this would not pose a 'financial stability risk.' 'The picture is less clear for financial organizations,' he continued.

He linked a potential crypto crisis to earlier financial meltdowns, pointing out that the crypto industry is currently worth £1.7 trillion, more than the sub-prime mortgage market was worth when it crashed in 2008.

'As the financial crisis shown, you don't need a huge share of the financial sector to cause financial stability issues.'

Cryptocurrency regulation, according to Cunliffe, "needs to be pursued as a matter of urgency."

'When something in the financial system grows extremely quickly in a highly uncontrolled environment, financial stability regulators must pay attention.'

This year, the cryptocurrency market has grown by 200 percent in value.

The remarks came as the Bank announced that private discussions with banks and financial institutions would no longer be held.

According to a source, the decision was made after a meeting between a Bank official and a big US investment bank, allegedly held under Chatham House Rules.

However, it is believed that policy information was exposed as a result of this.