NBM AGAIN WARNS ABOUT RISKS OF INVESTING IN CRYPTO-CURRENCY

The National Bank of Moldova confirmed its point of view, expressed in July 2017, and again warned payment services users about the risk of losing funds, invested in virtual money, because transactions with these cannot be conduced in the territory of the republic so far.

According to the NBM press release, crypto-currencies that exist in the world, including the bitcoin, are not money as such.

“These are virtual assets without real coverage or guarantee of being accepted as payment means in monetary regulation agencies. Thus, they have a high rate of volatility and low level of security against the money, issued by central banks and regulated electronic currencies. Crypto-currency holders cannot have guarantees that in future they will be able to change it for goods, services or simple money”, said NBM experts.

According to them, crypto-currencies are not suitable for using them as a payment means and are a very speculative investment.

“Crypto-currency transactions are taking place on unregulated markets and do not ensure protection to investors. In particular, the recent bitcoin fluctuations may lead to risk of its cost failure”, the NBM says, expressing concern about the increased frequency of cases of using virtual currency schemes (Bitcoin, Litecoin, Ethereum etc.) both on international market and on the Moldovan payment service market.