BaFin (German Banks Regulation and Supervision Agency), Germany’s financial markets regulator, emphasized that cryptocurrencies are precarious investments and therefore pose a risk.
by BaFin officials Monday, August 22 In the statement made on the same day, the risks of cryptocurrency investments were emphasized. Underlining the lack of state-supported protection behind such investments, the institution mentioned that investors may be harmed due to large losses. European Union about cryptocurrencies on the verge of enacting regulatory lawsGerman officials also expressed their support for the aforementioned studies.
In the statement made, it provides the opportunity to borrow through cryptocurrencies. Celsius networkIt was mentioned that what happened in .
Investing in cryptocurrencies at this point can mean losing all your money no matter how well you do your research. If cryptocurrency platforms or wallet service providers go bankrupt, no protection system exists to cover customer losses, such as deposit guarantee schemes or investor compensation schemes.
Referring to the good aspects of traditional banking, BaFin said that in case of a possible crisis and bankruptcy, according to EU laws, investments should be made. up to 100 thousand euros He said he was insured. In order to prevent panic in the markets in crisis situations and to protect customer investments, insurance systems Its importance has been reiterated once again. users, especially promising get-rich-quick and their absence from projects for which there is no consistent assurance behind them.
However, it is expected to enter into force in EU countries in the near future. MiCAof (Crypto Asset Markets Act) It is thought that it will move the aforementioned crypto money frauds and possible bankruptcy situations to a more controllable ground.