On 17 March 2022, the European Supervisory Authorities (ESAs) published a warning to consumers that many crypto-assets are highly risky and speculative. The ESAs set out key steps consumers can take to ensure they make informed decisions. The warning is a result of growing consumer activity and interest in crypto-assets and the aggressive promotion of those assets and related products to the public.
The ESAs highlight that these assets are not suited for most retail consumers as an investment or as a means of payments or exchange. Consumers should be aware of the lack of recourse or protection available to them, as crypto-assets and related products and services typically fall outside existing protection under current EU financial services rules.
In relation to the current situation in Ukraine and related sanctions, the ESAs welcome the previous clarification by the Council of the European Union of the scope of the restrictive measures against Russian and Belarusian entities and individuals as regards to crypto-assets.