Belgian Law Will Require All Crypto Ads to Include the Phrase "The Only Guarantee in Crypto is Risk"
March 21, 2023 6:51 AM
In large part due to its extreme price swings, cryptocurrency is usually considered a high-risk investment. However, the recent collapse of banks demonstrates that there are risks associated with any investment. The turbulence is a great example of the dangers of having your money in banks.
Belgium has taken action to alert investors about the risks of cryptocurrencies. According to the Financial Services and Markets Authority's most recent announcement, cryptocurrency advertisements must say that "the only guarantee in crypto is risk."
According to the Belgian financial authority, cryptocurrency advertisements in the country should inform investors about the specific dangers associated with cryptocurrencies.
Any mass media should also notify the regulator with specifics of the ad campaign ten days in advance.
"Virtual currencies are all the rage right now, but they come with significant danger." "They are frequently exposed to extreme price volatility and are sensitive to fraud and IT-related hazards," according to FSMA.
The FSMA also performed a survey, which concluded that the main reason people trade cryptocurrencies is to gain rapid money. The FMCA's new guidelines will go into effect on May 17.