Governor of the Bank of England, Andrew Bailey has warned cryptocurrency investors of the dangers of participating in the market. Bailey butress this at a conference on Thursday, where he frowned at the cryptocurrency ecosystem, stating that “Cryptocurrency assets was a more suitable nomenclature for describing virtual currencies.
Delivering his warning to cryptocurrency investors, Bailey said, “I’m sorry, i’m going to say this very bluntly again: buy them only if you’re prepared to lose all your money” Bailey went further to support his words, “I would only emphasis what i have said quite a few times in recent years (and) I’m afraid they have no intrinsic value.”
The BoE governor comments are coming in amid the massive spike in crypto prices especially for altcoins with Ether (ETH) setting a new all-time high. Bailey, speaking on the current market despite the apparent lack of intrinsic value, added: “Now that doesn’t mean to say people don’t put value on them, because they can have extrinsic value.”
Although, the BoE governor might not think much of the value proposition of cryptocurrency, the country’s task authority is not neglecting the possibility of using valuable virtual currencies being used to evade tasks.
However, Her Majesty’s Revenue and Customs announced in late April plans to upscale its policing of would-be cryptocurrency tax evaders.