Britain stops digital currency: risk is too big for small investors

Britain stops digital currency: risk is too big for small investors

According to the British "Guardian" report, the Financial Conduct Authority (FCA) has proposed to ban financial instruments related to digital currencies such as Bitcoin, and warned that individual investors may not understand the risks or values ​​of these tools, and may Will lead to huge losses.

FCA claims that derivatives such as derivatives or exchange-denominated bonds (ETNs) associated with encrypted assets are “not suitable” for small investors. These products are “very volatile” and are difficult to value. Their investors have low understanding of products and there is a growing risk of financial crimes that will hurt investors because of “sudden and unpredictable losses”. FCA also said that if these financial instruments are banned, it is expected to save consumers a loss of 75 million to 234.3 million pounds a year.

However, the Financial Conduct Authority of the United Kingdom has stopped the British “spreading coins” behavior, rather than the currency-linked Libra and other cryptocurrencies launched by Facebook.

South Korean media reported that Shinhan Bank, the second-largest financial group in South Korea's assets, even plans to monitor accounts related to cryptocurrency exchanges, so as to ban domestic anonymous cryptocurrency transactions.

It seems that the cryptocurrency has become a factor affecting the normal operation of investors and even financial institutions in some areas.

We will continue to update Blocking; if you have any questions or suggestions, please contact us!

Share:

Was this article helpful?

93 out of 132 found this helpful

Discover more

Market

Argentina: Bitcoin purchased for $20,000 is more than peso

In Argentina, Bitcoin has proven to be a means of value storage, and if you buy bitcoin during the heyday of Bitcoin,...

Market

Bitcoin is a super-sovereign asset but pricing power is still US dollar

The US dollar has never solved the Triffin problem between "supply sovereignty and the cross-border nature of de...

Blockchain

Opinion | The Fed's interest rate cut is limited, Bitcoin cannot be compared with gold

Cryptocurrency market conditions have been ups and downs recently, but in contrast, global financial markets have sho...

Market

What is your opinion on the Democratic presidential candidates accepting Bitcoin as campaign donations?

Robert Kennedy Jr., the Democratic candidate for President of the United States, has become the first presidential ca...

Blockchain

"Mastering Bitcoin" Author: Bitcoin currency is the reserve currency for all other encryption

Andreas Antonopoulos, author of Mastering Bitcoin, recently spoke about Bitcoin as a medium of exchange, an account u...

Blockchain

Will BTC and BCH be halved at the same time? The former's computing power grows to narrow the latter's lead

According to cryptoslate reported on July 16, although the mining rate of bitcoin (BTC) and its forked currency bitco...