The AG advises NY residents to think carefully before investing their hard-earned money in this volatile market.
On June 2, New York Attorney General Letitia James issued a statement regarding the risks of investing in cryptocurrencies. The AG reminded NY residents that crypto is still in turmoil and that it might cause “more pain than gain” for traders.
The news arrived following the crypto market’s historic lows in May as a number of investors lost hundreds of billions. Currently, crypto is considered one of the most dangerous investments that are unpredictable in any way possible, according to the AG.
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James also underlined that digital assets might also be a subject to change one day and fall just like cryptocurrencies. The NY AG advises New Yorkers to exercise caution before investing their funds in dangerous crypto investment exchanges that may result in more concern than profit.
“Even well-known virtual currencies from reputable trading platforms can still crash and investors can lose billions in the blink of an eye."
The AG also shared the reminder on her Twitter account by suggesting that “New Yorkers should be cautious and think twice before putting their hard-earned money into this unstable market.”
On top of that, Letitia James distinguished a number of risks related to investing in virtual assets, including huge transaction costs that various trading platforms impose, difficulties in cashing out earned funds during “times of crisis,” cryptocurrencies’ unpredictable value, hidden trading costs, and “unstable stablecoins.”
Back in May, the Congressional Research Service (CRS) shared a brief summary of UST stablecoins' colossal fall and outlined several significant points.
