FCA Warns Against Crypto-Adverts Promising High Returns
Law360, London (January 11, 2021, 3:28 PM GMT) -- Consumers who invest their money in crypto-assets are placing their funds at risk and should be wary of adverts promising high returns, the Financial Conduct Authority warned on Monday.
The regulator said it is aware that some businesses are offering crypto-asset investments, or lending associated with such assets, that promise high returns. But the sector often takes high risks with investors' money, the FCA cautioned.
"If consumers invest in these types of product, they should be prepared to lose all their money," the regulator said.
The watchdog raised concerns about the investments the day after a new requirement came into force, which...
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