Client Protection and Cryptocurrencies

The function of cryptocurrencies has changed in recent years. Originally conceived as a means of payment, they are now used predominantly for investment purposes. Investments in cryptocurrencies carry a variety of risks: alongside high volatility, security incidents, service provider insolvencies, and forms of market abuse can lead to substantial losses. Given these risks, the question arises as to how adequate protection for clients, particularly retail clients, can be ensured in connection with cryptocurrency-related services.

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The two speakers will draw on selected aspects to illustrate how consumer protection is currently structured under existing law, and what further developments are envisaged as part of the planned amendment to the Financial Institutions Act.