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Breaking News: BNB Reaches New All-Time High Of $956 As Binance Nears Deal With US DOJ
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Breaking News: BNB Reaches New All-Time High Of $956 As Binance Nears Deal With US DOJ

European Union Regulators Warn of Bitcoin Dangers

newsbtc
newsbtc
4 years ago
1 min read

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European Union MapJust when you thought the folks in Europe were in love with bitcoin, regulators at the European Banking Authority (more commonly known as EBA) have released a warning to European citizens on the dangers of bitcoin.

Thankfully, the warning is designed to educate citizens on the possibility of theft and fraud, noting especially that those who dabble in bitcoin are not protected by EU regulations, and as such, should take caution when getting involved in the world of digital currencies.

“Consumers should be aware that exchange platforms tend to be unregulated and are not banks that hold their virtual currency as a deposit. Currently, no specific regulatory protections exist in the EU that would protect consumers from financial losses if a platform that exchanges or holds virtual currencies fails or goes out of business,” the statement says.

Aside from financial losses, the regulators discuss the possibility of getting hacked, the use of digital currency for illegal means, and tax evasion.

These sort of statements will become increasingly common in the months ahead as bitcoin continues to garner mainstream attention. The Swiss Federal Council is expected to soon release a report of their own on the dangers of bitcoin. (via CoinDesk)

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