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British regulator FCA warns Bitcoin buyers to lose money!



Andrew Bailey, chairman of the Financial Conduct Authority, has warned that neither the central bank nor the government regulates bitcoin. This means that if investors invest in bitcoin, they should be prepared to "lose all their money."

According to the BBC (BBC), Bailey compared bitcoin to gambling and said the risks were the same. He described bitcoin as an unsafe investment, he told the BBC:


"Bitcoin is not a currency, it is not regulated in any way."
Bailey said:


"As a commodity, its pricing is very volatile, and if you know the bitcoin price changes this year, I'm sure you know for sure that we do not know much about the underlying logic behind changes in Bitcoin prices.
"This is a weird commodity because the supply is fixed," he continued. "If you want to invest bitcoin, you're ready to lose your money, and that's going to be my serious warning."


Encrypted currency: curse or blessing?


Bailey also said he will not demand changes in regulatory rules because financial regulators do not have the obligation to regulate "digital currencies" and also deny that regulators will be abandoned by the rapid development of encrypted digital currencies.

He commented:


"Our regulatory policies come from the government and the parliament and need to be regulated and ultimately will be decided by the parliament, and I do not have to make it very clear that this is a very volatile commodity, but if the parliament wants to further allow people Understand its risks and we will be happy to provide the evidence we have and will support the final decision of Parliament. "
This cryptocurrency (bitcoin) is growing rapidly, up more than 150% this year from just $ 952 at the end of 2016. The current price of the product is about 18,000 US dollars, up 5,000 dollars in the past two weeks alone.

The head of the FCA added: "By adopting the name 'cryptocurrency', many people mistakenly believe that it is of the same nature as an economist's legal tender, but it is not the case that the legal tender is backed by the state, Is to maintain the value of money through actions taken by the Central Bank, which is not the case, it is not a currency. "

Earlier this year, Jamie Dimon, chief executive of JP Morgan, warned that he would fire anyone who deals in bitcoins before the Bitcoin collapse.


"I'll fire any employee within a second, no matter who he is." Dimon told Bloomberg "for two reasons: one is a violation of our rules and the other is stupid In both cases, it is intolerable. "