CAIRO, March 28 (MENA) – In light of its monitoring of the recently circulated news about cryptocurrencies, such as Bitcoin and others, the Central Bank of Egypt (CBE) Sunday reiterated its stern warning against trading in all kinds of cryptocurrencies, mainly Bitcoin, due to the extremely high risk associated with them.

Cryptocurrencies are typically characterized by fluctuations and significant price volatility; as their global speculations are completely unregulated, a fact that makes investments in them quite risky and highly speculative, and are likely to lead to sudden losses of their whole value, the CBE said in a release.

It is worthy to note that cryptocurrencies are not issued by any central bank, or any official central issuing authority that can be held accountable, the CBE added.

Moreover, cryptocurrencies are not backed by any tangible assets and are not supervised by any regulators worldwide, and consequently they lack the official governmental guarantee and support enjoyed by the other official currencies issued by central banks, it said.

In the same context, the CBE asserted that trading within Egypt is only confined to approved official currencies and called on all traders within the Egyptian market to not engage in any trading in these high-risk currencies. (MENA)

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