Swiss regulator urges financial regulators to protect crypto investors – Bitcoin News Regulatory

The head of the Swiss Financial Supervisory Authority notes that cryptocurrency trading is increasingly similar to the US stock market in the late 1920s. The senior official believes that regulators around the world must do more to ensure investor protection.

Swiss Financial Supervisory Executive Director Calls for More Regulation of ‘Abusive’ Crypto Market

Governments are still trying to find the best approach to oversee the $900 billion crypto-asset market, which is subject to partial regulation in several jurisdictions, Euronews said in a report on Wednesday. Officials have issued several warnings about the risks associated with cryptocurrency investments, including “manipulation in opaque crypto markets.”

Much can be done in this regard, according to a statement by Urban Angehrn, CEO of Switzerland’s Financial Market Supervisory Authority (where). Speaking during a conference in the Swiss city of Zurich, Enghern further commented:

It seems to me that a lot of trading in digital assets is similar to the American stock market in 1928, where all kinds of abuse, pumping and dumping are now commonplace frequently.

The Finma CEO also urged colleagues to “consider the potential of technology to facilitate the handling of large amounts of data and protect consumers from trading in abusive markets.” His call comes amid market turmoil and problems with some crypto projects in the past several weeks.

The total value of the cryptocurrency market has fallen to $900 billion, from about $3 trillion in November 2021. Bitcoin (BTC), the cryptocurrency with the largest market capitalization, fell below $20,000 per coin earlier this month, for the first time since December 2020.

The report indicated that this year’s losses in value amounted to nearly 60%, but high inflation and high interest rates have led to capital flight from other risky assets and stocks as well. Against this background, and given the problems at companies like Celsius, regulatory pressure on the industry is likely to increase.

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Celsius, Crypto, Crypto Industry, Crypto Market, Crypto Sector, Cryptocurrencies, Cryptocurrency, Finma, Regulations, Regulator, Regulators, Rules, Switzerland, Censorship, Monitoring

Do you expect regulators to adopt stricter rules for the crypto sector in the near future? Share your thoughts on the topic in the comments section below.

Lubomir Tasev

Lubomir Tasev is an Eastern European technologist who likes to quote Hitchens: “Being a writer is what I am, not what I do.” Besides crypto, blockchain, and fintech, international politics and economics are two other sources of inspiration.

photo credits: Shutterstock, Pixabay, Wiki Commons, Shutterstock / T. Schneider

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