Norway’s Financial Supervisory Authority (FSA), or Finanstilsynet, released a statement earlier today calling for better consumer protection for crypto investors. According to the FSA, the crypto industry in the country is still predominantly unregulated – highlighting that the Norwegian authority currently has no adequate supervision of local crypto firms.
As per Finanstilsynet, Norway-based platforms must indeed notify them to abide by the money laundering regulations; however, they have no power to supervise such platforms apart from that. Finanstilsynet believes that the lack of attention towards the crypto space brings in further criminal activity instances on top of the significant risk of loss due to its extreme volatility.
The Norwegian FSA states that anyone looking to participate in the crypto space must first contemplate and fully comprehend the significant risks it possesses until such regulations are implemented. The authority warns consumers that investing in such should always be performed with due diligence and never invest more than they can afford to lose.
Considering that Norway is currently the world’s most cashless country, having only 4% of its entire payments still conducted with coins and banknotes, clearer crypto regulation could indeed go a long way. That may be, possible implementation of the authority’s regulation proposal could still be several years ahead.