European regulators warned investors recently that they could face financial ruin by investing in cryptocurrencies.
The advisory came from the European Union’s securities, banking and insurance realm on March 17th. In the statement, regulators pulled no punches in their assessment of cryptocurrency investing.
“Consumers face the very real possibility of losing all their invested money if they buy these assets,” the EU administrators noted.
The statement is the latest broadside the EU has leveled at the crypto sector.
The primary argument is that cryptos come with no regulatory protection and that, if money is lost investing in the sector, a cryptocurrency investor has no recourse in getting the money back. According to the EU, the same scenario holds true if a crypto investor loses money via fraud and scams.
“Consumers should be alert to the risks of misleading advertisements, including via social media and influencers,’ the EU…