Central Bank of Kyrgyzstan: “Cryptocurrencies have no real value” – Bits Media

The National Bank of Kyrgyzstan once again appealed to citizens of the country to refrain from investing and using cryptocurrencies due to “possible risks”.

In its statement, the Kyrgyz regulator acknowledged the significant spread virtual assets in the Republic. At the same time, the Central Bank emphasized, that only soms can be used for payments within the country, and the use of digital assets for payments violates the legislation of Kyrgyzstan.

Officials cited the lack of collateral in real assets as the main risks of cryptocurrencies.. Besides, digital assets are dangerous due to the lack of supervisory and regulatory authorities, которые должны следить за оборотом таких активов. Также чиновники отметили высокую волатильность криптовалют:

«Отсутствие реальной стоимости криптовалют в связи с тем, What they are, usually, not tied to any currency or other asset, creates high risks of exchange rate volatility and loss of value".

Previously, the Kyrgyz regulator had already warned citizens about the dangers of investing in cryptocurrencies. At the end of March, a local deputy called on the government to work on the issue of creating its own national digital currency.