ASIC Chairman is concerned about a huge number of “risky” cryptoinvestors
The Australian financial services regulator considers the growth of crypto investments during the Covid-19 pandemic cause of concern, especially among young and new investors. The Australian financial service regulator considers the growth of crypto-investment during pandemia Covid -19 reason for concern, especially among young and new investors.
The head of the Australian financial services regulator, Joe Longo, expressed anxiety about a huge number of people who invested in "unregulated, volatile" crypto assets during the pandemic. Longo, Chairman of the Australian Securities and Investment Commission (ASIC), made these comments in a press release published on Thursday based on the results of a study conducted in November 2021, which studied investment behavior after the start of the Covid-19 pandemic, saying the following: "We are concerned about the number of surveyed people who reported investigation in unregulated, volatile crypto assets." The study showed that cryptocurrency is the second most common investment product, the availability of which was reported by 44% of respondents. Of these investors, 25% indicated that crypto acts are the only investment class that they are engaged in. Longo said that the study emphasizes the "attractiveness of crypto actors for the market", but investors may not know what risks they take on: "According to the survey, only 20% of cryptocurrency owners consider their investment approach to" risky ", which causes fears that investors do not understand the risks of this class of assets." He added that, given the presence of “limited protective equipment” for investors, the lack of understanding among retail investors makes a “convincing argument in favor of regulating crypto assets for better protection of investors.” The Senator from the opposition party Andrew Bragg agreed with Longo that more regulation was needed, and lawmakers should act quickly in order to protect investors. He said Cointelegraph: "The chairman of the rights is that I designated this problem [...] as the chairman of the Senate Investigation, I recommended large -scale reforms for regulating cryptocurrencies. The government should do a certain job and do it quickly." Joni Pirovich Australian lawyer, however, said Cointelegraph that there was confusion on the question of whether ASIC has the proper opportunities for supervision of tokens issuers and their tokens. She said: "The point is not that tokens are not regulated, but that there is a" gray zone "as to whether tokens are regulated and controlled by regulators such as ASIC." Pirovich, who is the director of Blockchain & Digital Assets - Services + Law, noted that in Australia the release and trade of tokens creates an interesting puzzle for politicians, since after the production of tokens and subsequent trading in the open market this becomes a crypto -rhinoma matter: "The tokens exchanges have opportunities for the development and development of advanced practice standards for better informing their customers, and the reform of politics should not interfere with this." The remarks of the chairman of ASIC were made at a time when cryptocurrency trading was not yet completely settled in Australia, which is why some industry groups encountered ASIC representatives in the beginning of this year. Similar: Australia Reserve Bank will study the options for using CBDC The Australian Securities and Investment Commission (ASIC) supervises financial activities in Australia and took over regulatory supervision of cryptocurrency investments in the country. The ASIC survey was attended by 1053 adults of the Australian at least 18 years old, who traded securities, derivatives or cryptocurrencies from March 2020 to November 2021.