Bank of England Governor Andrew Bailey repeated his warning about investing in cryptocurrencies after US crypto lender Celsius suddenly froze withdrawals. Emphasizing that crypto has no intrinsic value, he said investors should be prepared to lose all their money.
Bank of England Governor Warns About Cryptocurrencies Following Celsius Withdrawal Freeze
Bank of England (BOE) Governor Andrew Bailey reiterated his concerns about cryptocurrency investments to the UK Parliament’s Public Accounts Committee on Monday.
In response to a question about the regulator’s duty to protect consumers potentially clashing with government plans to promote financial innovation, he said, as quoted by Reuters.
If you want to invest in these assets, fine, but be prepared to lose all your money.
“People may still want to buy things because they have extrinsic value,” he continued, adding, “People find value in things for personal reasons.”
The Bank of England governor cautioned.
But they have no intrinsic value. This morning we saw another explosion in crypto exchanges.
Bailey mentioned that US crypto lender Celsius had suddenly frozen withdrawals. After selling off over the weekend, the crypto market turned bloody on Monday.
The governor of the British central bank has warned several times that bitcoin has no intrinsic value; in May, he also said
Meanwhile, the Bank of England said in March that crypto assets present a financial stabilization risk.
Image credit: Shutterstock, Pixabay, Wiki Commons