Ireland’s Central Bank will not allow retail funds to own cryptocurrency

The regulator has repeatedly focused investors’ attention on the fact that they should be prepared to lose their deposits

09.02.2022 - 09:55

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1 min

What’s new? The Irish Central Bank is very likely not to allow investment funds to hold crypto assets. As in a number of countries, the regulator notes that digital currencies carry a high level of risk that can harm investors. The Central Bank stated this in its annual securities markets risk report.

Report of the Central Bank of Ireland

What does the Central Bank representative say? Patricia Dunne, the Central Bank’s Director of Securities and Market Supervision, said:

“There are too many unanswered questions around things like custody, and money laundering, and even just volatility and liquidity.”

The regulator’s representatives have repeatedly focused investors’ attention on the fact that they should be prepared to lose their funds if they continue to invest in cryptocurrencies.

What was the prerequisite for the ban? Dunne’s comments came after the Central Bank published its outlook on risks in the securities markets for 2022. The report warns that companies should be cautious about issues related to misconduct, financial innovation, and cyber security.

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