FCA provides $ 15 million to clarify the youth about the risk of the crypto trade
FCA provides $ 15 million to clarify the youth about the risk of the crypto trade
- FCA provides £ 11 million ($ 15 million) for a digital marketing campaign to warn investors of the risk associated with the purchase of crypto.
- The campaign is aimed at people aged 18 to 30 who normally spend a lot of time on social media.
recently showed a survey by the US financial company Charles Schwab that British young people buy cryptos twice as often as Bitcoin than stocks. According to the survey, 51 percent of young people between the ages of 18 and 37 have invested in cryptos, compared to 25 percent that have invested in shares. In contrast, only 8 percent of the British invested over 55 years in Kryptos.
The growing popularity of this asset class for young people gives rise to concern, since most of them do not know how risky the system is. The governor of the Bank of England, Andrew Bailey, recently pointed out to the young people that they could lose everything in crypto investments. In response to increasing concerns, the Financial Conduct Authority (FCA) provided money to clarify the young people about the risks of crypto.
connected : 36% of British crypto investors understand little or nothing about the crypto industry
according to the FCA Style = "font-Weight: 400;"> £ 11 million (15 million US dollars) is assigned to a digital marketing campaign in order to warn the owner of crypto-assets, in particular the youth, of the associated risk.
Almost 2.5 million people in Great Britain bought crypto
This follows a publication in which almost 2.5 million people bought crypto-assets in Great Britain. The analysis of the report showed that the majority of crypto investors are younger people, some of whom belong to ethnic minorities. According to the CEO of FCA Nikhil Rathi, people see investments as entertainment.
As with the Gamestop episode, more and more people are looking at investments than entertainment-they behave less rationally and emotionally, spurred on by anonymous and non-accountable social media influencers.
The campaign is most likely aimed at people aged 18 to 30 years of age who are normally attracted to social media. According to Rathi, crypto investments are very risky and investors have to understand the worst possible scenario.
As we have made clear again and again: Investors in crypto-assets should be ready to lose all of your money. Since the technology collides with the increasing freedoms of consumers, we are confronted with judgments and compromises that we have never seen before. We are also confronted with deep ethical questions, which are raised to target group speech by using machine learning and artificial intelligence.
The FCA has become very active in the crypto area in the past few months, has commanded crypto companies to register with them, and has initiated operations to combat misleading marketing advertising for crypto investments. Counfloor and Luno have been instructed to remove their ads.
connected : The Bank of England says that Krypto does not require any measures that go beyond surveillance
Source: Crypto-news-flash.com
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