Cyprus Securities and Exchange Commission advisory notice regarding XECOIN or cryptocoin

The Cyprus Securities and Exchange Commission (“CySEC”) has posted a notice on its website regarding the XECOIN or cryptocoin, which it understands to be available in Cyprus.

According to the notice, XECOIN or cryptocoin is not a financial instrument, and therefore does not fall within the scope of the Investment Services and Activities and Regulated Markets Laws of 2007 to 2016, nor is it supervised by CySEC. The notice makes clear that currently there are no specific regulations for the protection of persons transacting in XECOIN or cryptocoin or other virtual currencies.

CySEC therefore urges the investing public to exercise extreme caution in products promising high returns, and to be fully informed about the risks associated with them, including possible loss of capital, before making any investment.