Why are BTC dangerous? The statement of the European regulator
Many newcomers entering the crypto industry are rightly thinking about the risks that are present in the digital asset space. Indeed, in order to fully work with a new asset, it is necessary to understand the potential risks. And they really are. The imperfections, features of the Blockchain, however, are being exploited by skeptics to damage the reputation of the cryptoindustry. Representatives of the European Commission for the Securities Market made a statement on this topic. Experts said that cryptocurrencies, and in particular Bitcoin, are very dangerous to invest. And today we will find out if this is really so. Further – a detailed analysis of the theses of the European regulator with our comments. So read it carefully. So let’s get started.
What does the European regulator say?
First, let’s define the context of the story. It should be noted that the representatives of the relevant commission came up with a rather radical position. In their opinion, the cryptoindustry is an absolutely chaotic sphere that defies neither the laws of logic nor the rules of the market. This is why newbies must consider the “fact” that digital assets are “extremely risky.” Moreover, both in relation to trade and in direct use. All the fault, as experts say, is a complete lack of control. And indeed it is. In the crypto industry, as you know, there are no regulatory structures. Today’s cryptocurrency price tag is driven by the interest of users in a particular coin. This concept is not a bulwark of anarchy, but a real manifestation of the market economy.
No control and influence from third parties, the price is determined by the buyer and the seller. This is not “risks and speculation” at all, but the economy that the modern world needs. Yes, the crypto industry has certain challenges. But the lack of desire to trade in the interests of the entire sphere is to blame. Many investors are making rash decisions that really increase the volatility and volatility of individual coins. However, this is a natural consequence of the lack of theoretical knowledge about the blockchain features. Perhaps the problem will go away with time. You just have to wait.
How will the specialists’ statement affect the course?
Many users believe that this position is a common provocation. After all, as you know, Bitcoin is extremely unprofitable for government agencies. This is due to the same reasons that make cryptocurrencies so unique. Of course, we are talking about independence from government politicians and the opinions of certain authorized persons. The European regulator also said that the so-called stablecoins are under their close supervision. Recall that this is the name of coins, the rate of which is tied to a more stable asset. Like the American dollar. It is obvious that even such a manifestation of the digital economy does not suit the European regulator for the securities market.
However, we advise you not to pay attention to such statements and independently understand all the intricacies of the Blockchain operation. Remember that knowledge is the key to everything, including quiet, productive investment. It is necessary to analyze a variety of opinions, and take into account the specifics of the digital market. But the most important thing is to stay up-to-date with current developments in the cryptoindustry. To receive the latest news from the world of Blockchain and advanced technologies, follow the latest news with us. We publish only high-quality, interesting material. Thank you for attention. Good luck!