German financial regulator BaFin wants retail investors to be aware of the risks associated with crypto investments, especially in the current bull market.
Germany’s Federal Financial Supervisory Authority, or BaFin, has warned investors about the risks involved in cryptocurrency investments.
In a consumer protection alert issued on its website on Friday, the regulator offered a cautionary tale about crypto involvement on the part of retail investors.
As part of its statement, BaFin echoed similar admonitions espoused by several European regulators including the European Securities and Markets Authority and the European Banking Authority.
According to BaFin, retail investors need to be aware of the risks of incurring 100% losses from their crypto investments.