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Cryptocurrency investors have been warned by the Australian financial watchdog that they are 'on their own' when it comes to protecting their investments.
Australian Securities & Investments Commission (ASIC) chair Joe Longo warned the watchdog could only protect investors who buy defined 'financial products'.
But many cryptocurrencies and other digital assets are not regulated by ASIC because they are not considered a 'financial product' and sit outside the definition outlined under current laws.
This means if a cryptocurrency fails or a platform is hacked, investors will most likely lose all the money they have invested.
Australian Securities & Investments Commission (ASIC) chair Joe Longo (pictured) warned cryptocurrency investors that they were 'on their own' when it comes to protecting investments
Speaking during the AFR's Super & Wealth Summit, Mr Longo said the demand-driven rush of crypto has proven difficult for financial advisors to offer counselling to clients.
'ASIC has already provided some guidance on exchange-traded funds linked to crypto-assets — they at least are financial products, and traded on a
