National Bank Of Kazakhstan Warns Against Cryptocurrencies

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The National Bank of Kazakhstan has issued a warning against the use of cryptocurrencies and related investments.

The bank noted that there are organizations that offer investments services related to cryptocurrencies to the people. These organizations promise high returns that are not comparable to the prevailing rates in the financial markets.

“The high remuneration are paid by attracting a significant number of participants and proceeds of new clients, thus ensuring the availability of money in circulation”, the bank said, as quoted by (loosely translated).

The bank further said that these organizations shut all activities when they are unable to meet current obligations:

“When you stop traffic (flow) of money or their lack of ability to meet current obligations these organizations are closed and all payments are terminated.”

These organizations are not regulated by the National Bank of Kazakhstan, it said. The bank also said the process of cryptocurrency circulation is decentralized and cannot be controlled. It also urged people to be cautious when dealing with cryptocurrencies, adding that the current law does not protect those who will fall for the bait of these organizations.