What is the RWA risk?

Could you elaborate on the concept of RWA risk in the context of financial institutions and cryptocurrency? Specifically, how does it impact the overall risk profile of a firm and what measures are typically taken to mitigate it? I understand that RWA stands for Risk-Weighted Assets, but I'm interested in knowing more about its application in the current market landscape, especially with the emergence of digital currencies. How does the risk associated with cryptoassets factor into RWA calculations and how are financial institutions adapting their risk management frameworks to account for this new risk category?