Know what you’re getting yourself into.
Insurance Commissioner Dennis Funa made a fresh warning against the use of cryptocurrencies as a tool for savings and investments, saying that people should exercise caution before buying these currencies.
“The public is being cautioned to act prudently whenever dealing in theacquisition, possession, and/or trading of cryptocurrencies,” Funa said in a statement.
“The apparent increase in the demand for cryptocurrencies and its popularity in termsof usage as a medium for payment and remittances worldwide makes cryptocurrenciesprone to being used for facilitating illegal activities, such as scams, money laundering,and terrorism financing.”
Funa issued the remarks amid rising popularity of the digital currencies. He warned that some are simply using the currencies as a ploy for investment scams.
The regulator also dangled the possibility of issuing rules on cryptocurrencies if scams become more common.
“lf and when warranted, we will issue appropriate regulations as faras ine insurance, pre-need and HMO industries are concerned,” Funa said.
