Financial Authority warns public to refrain from purchasing virtual currencies
The Financial Supervisory Authority calls on the Albanian public to be careful in relation to investing in virtual currencies.
In an official announcement, FSA has asked investors to pay particular attention to investments that are recently being promoted in virtual coin emissions with initial bid.
This form of investment is mainly provided by start-ups, which tend to emit such virtual coins to finance their projects.
FSA announces that issuing virtual coins with initial offerings is not subject to any form of regulation, so the investor does not enjoy the same level of protection as in the case of financial products provided by licensed and supervised entities.
According to the FSA, investing in these kind of currency entails a range of risks.
Investing in a virtual currency with an initial offer may tantamount to investing in a fraudulent scheme and as such investors may lose all their money; firms that issue Virtual Currency with Initial Offers are mainly new businesses and as such they may be unsuccessful; the investment has a high liquidity risk, as investors who buy the currency may not be able to sell it if they need money; virtual currency emission with initial supply may serve as a scheme money laundering and as such investors may face considerable legal risk; the investment relates to a lack of transparency as a result of insufficient and unmanaged information from audit firms; the market of virtual currencies with initial offer may be manipulated,
The Financial Supervisory Authority informs investors that it has not licensed any agents to promote such activities in the Republic of Albania.
SCAN
*Material i përgatitur nga portali SCAN. Ripublikimi mund të bëhet vetëm kundrejt citimit të autorësisë dhe burimit origjinal.