The European Securities and Markets Authority (ESMA), in a new report, warned of the risk of losing all funds when investing in digital assets such as Bitcoin.<\/p>\n
In ESMA’s view, some cryptocurrencies are ‘highly risky and speculative’. The lack of regulation deprives investors of guarantees and protections, and keeps alive the earlier warnings, the authors of the report noted.<\/p>\n
\n“Consumers should be aware of the high risks of buying and\/or owning these instruments,” the report says.<\/p>\n<\/blockquote>\n
ESMA added that stablecoins remain under close regulatory scrutiny.<\/p>\n
In September 2020 the European Commission published a draft regulation<\/a> laying the regulatory groundwork for crypto assets and stablecoins. The document also envisages the creation of a special legal regime for blockchain projects.<\/p>\n
INATBA<\/simple_tooltip> criticised<\/a> the new rules and said they could burden the sector.<\/p>\n Earlier, in January 2021, European Central Bank President Christine Lagarde called Bitcoin a speculative asset<\/a>, subject to regulation.<\/p>\n
esma50-165-1524_trv_1_2021<\/a> by ForkLog<\/a> on Scribd<\/p>\n