Skip to main content

Ombudsman Receives Complaints About Crypto Investments in Spain

ombudsman

The Spanish ombudsman has been receiving complaints about cryptocurrency and how some Spanish citizens investing in these vehicles have lost everything. In his annual report, Angel Gabilondo recognized the rise of cryptocurrencies as a new problem due to the little or no regulation crypto sees in the country. In the same way, the EU has also warned about these assets recently.

Spanish Ombudsman Gives His Take on Crypto

Angel Gabilondo, the Spanish ombudsman, has given his take regarding cryptocurrencies and the effects they have on citizens investing in some of these projects. Gabilondo said in his yearly report that cryptocurrencies have become “a new problem” during the year examined, with many people having lost all of their funds invested.

The report states:

Cryptocurrency exchange companies or platforms are not regulated in the legal system, are not subject to any public supervision system, nor do they benefit from deposit guarantee systems.

The affected users that sought the support of the ombudsman office were referred to a 2018 joint release issued by the Bank of Spain and the CNMV, the securities regulator in the country, that alerted about the risk of using cryptocurrency assets as investments.

The report also states that the current reclamation systems are too inefficient to offer protection to the users of financial products, something that has prompted the institutions to accelerate the creation of the Financial Customer Protection Authority, directed to help customers in trouble with financial institutions. The proposal was made last year, and the law to cement its creation will be published in May, according to local sources.

Europe Also Warns Against Cryptocurrencies

This negative view of crypto assets is shared by several European institutions that have recently warned about the use of cryptocurrencies. Just last week, the EU supervisory authorities issued a statement explaining that cryptocurrencies “are not suited for most retail consumers as an investment or as a means of payment or exchange.” Furthermore, the warning also informs that “consumers face the very real possibility of losing all their invested money if they buy these assets.”

However, European users must still wait until the Markets in Crypto Assets (MiCA) law proposal is approved in the future to have a clear picture of the future of cryptocurrencies and their regulation on the continent.

What do you think about the answer that the ombudsman in Spain has given to cryptocurrency investors? Tell us in the comments section below.



from Bitcoin News https://ift.tt/W4nlU73

Comments

Popular posts from this blog

Deep Web Roundup: Dream Adds Monero and Bitcoin Tumbler “Chip Mixer” Launches

The darknet has been quiet of late, which is the way it’s meant to be. No news means no mega busts, honeypots, or mass market shutdowns. Even when it’s out of the spotlight though, the deep web is quietly making news, whether trialling the latest privacy coins or the newest coin mixers that promise to restore a little of the privacy that’s being stripped away from bitcoin users on a daily basis. Also read: U.S. Agency ICE Conducts Investigations That Exploit Blockchain Activity The Battle for Privacy Heats Up Privacy is all relative, but of late there’s been relatively little privacy to be enjoyed by bitcoin users. Blockchain monitoring software is becoming more sophisticated and more common, with U.S. law enforcement agencies using it to profile and hunt down deep web users. Chip Mixer is a relatively new bitcoin tumbler that’s designed to restore some of that privacy. Available on both the clearnet and darknet, the service uses a variety of techniques to obfuscate blockchain m

International Crypto Exchange Luno Adds Bitcoin Cash Trading

Luno exchange has added bitcoin cash trading to the platform following feedback from its client base. BCH is now only the third cryptocurrency available for trading on the exchange, in addition to BTC and ETH , but more options could be on the way once Luno determines that they are credible enough. Also Read: Bitflyer Adds Bitcoin Cash Trading Across Europe and the US Luno Adds Bitcoin Cash Trading Luno, the London-headquartered company formerly known as Bitx, recently announced that bitcoin cash was made available on its cryptocurrency exchange. Starting from Monday, September 23, customers at Luno are now able to store, buy and sell BCH on the platform. The reason given for adding BCH to the exchange is feedback from users in developing markets that convinced Luno to expand their offering from previously just BTC and ETH . Marcus Swanepoel, CEO of Luno, said , “We are in a new and exciting financial era. Developing economies are leading the large-scale adoption and appli