How to spot a scam cryptocurrency according to a regulator - James Bernard
There are a number of things investors should have on their checklist before buying a cryptocurrency, either as an investment or a short-term speculation, said James Bernard, regional representative, Europe, of the DMCC.
The Dubai Multi Commodities Centre (DMCC) is the authority overseeing the DMCC Free Zone, which supports global commodity trading with the UAE as a hub.
Speaking to David Lin, anchor for Kitco News at the Future Blockchain Summit in Dubai, Bernard said that cryptos should be evaluated like stocks.
"Look at the project like you would any company that you're investing in. Look at the team, look at how long they've been in existence. They may have other projects. Look at what their future plans are, not just their one page white paper. Don't jump into it. There's plenty of time, plenty of protocols out there to invest in, but I think it's very important to make sure there's some sort of reality behind it and that you believe what the project is going to achieve and that can be turned into a real life situation, not just air," Bernard said.
For more information on the DMCC and how regulators around the world are adopting cryptos, watch the video above.
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By David LinFor Kitco News
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dlin@kitco.comwww.kitco.com