Crypto Assets Aren’t a ‘Real Investment,’ ECB’s de Guindos Says

Crypto assets should not be seen as a “real investment,” according to European Central Bank Vice President Luis de Guindos.

• Difficulties in discerning the underlying value of crypto assets prevent them being classed as real investments, de Guindos said in an interview with Bloomberg TV Wednesday.
• Crypto assets have “very weak fundamentals.” Investors should be braced for more price swings.
• “When you have difficulties to find out what are the real fundamentals of an investment, then what you’re doing is not a real investment.”
• Crypto investors have had to withstand stomach-churning volatility this month, with the world’s largest cryptocurrency, bitcoin, incurring losses of 34% so far, the most for a single month since November 2018.

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