High debt, overvalued assets and a growing appetite for investing in risky assets such as cryptocurrencies could lead to a big crash in financial markets, the EU’s securities regulator said on Wednesday.

The European Securities and Markets Authority flagged its concerns in its latest trends, risks and vulnerabilities report, which pointed to the recent events of GameStop, Archegos and Greensil as signs of growing uncertainty.

“We expect to continue to see a prolonged period of risk to institutional and retail investors of further — possibly significant — market corrections and see very high risks across the whole of the ESMA remit,” the report said.

Risk-taking among retail investors has increased amid growth in new mobile trading apps, such as Robinhood, which allow people to put their money into financial products without extra fees.

This retail trading is further encouraged “by social media and…

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