Why crypto investors need more protection than ever

Image source: cointelegraph.com

In a statement regarding the protection of cryptocurrency buyers, the Financial Supervisory Authority of Norway, also known as Finanstilsynet, mentioned that it does not oversee locally operated crypto companies in anything other than preventing illegal money laundering practices.

According to Scott Tominaga, the head of PartnersAdmin LLC, Finanstilsynet also identified major risks related to crypto trading, such as scams and unstable prices that lack the transparency to supervise. However, it does recognize the urgency of setting up protective measures for investors and legal frameworks to help make crypto safer for investors.

Image source: cnbc.com

The authority pointed out how the European Commission proposed market regulations for crypto in September of 2020. Scott Tominaga adds that this proposal included the rules that would protect investors and halt the abuse of markets, among other regulations.

Furthermore, Finanstilsynet noted that investors wouldn't be safe in the cryptocurrency business until these rules and regulations have been set in stone.

Scott Tominaga explains that Norway is currently known as the world's most cashless country. Only 4% of Norway's transactions are done with banknotes and coins. Because of the huge percentage of people preferring not to use cash, the country's central bank started looking into central bank digital currency earlier this year.

Scott Tominaga leads all aspects of back-office operations, including investor relations and marketing. Learn more about him and his work by clicking here.