The Financial Authorities in Spain are not too happy with the wide display of crypto-related advertisements on the streets of the country’s capital. There is every possibility that the National Securities Market Commission (CNMV) would start regulating such activities.
In the world of Bitcoin, huddlers are very common and Spain is one such region that tops in Bitcoin popularity and holdings. This is primarily because of the number of bank ATMs in Spain that support conversion from Bitcoin to cash. Approximately 10% of the population in Spain owns some form of cryptocurrency.
Cryptocurrency is such a rage and people from all over the country are taking steps to advertise and promote this form of investment. Similar efforts are also being carried out by the people of Spain as well who are going around streets advertising the digital asset.
However, the Spanish authorities aren’t too pleased with these developments and promotional strategies. This was brought to notice when in a conference organized by El Español, Rodrigo Buenaventura, the president of CNMV expressed his views. He conveyed his standpoint on these crypto-related advertisements on the streets of Madrid and called them as risky. His focus was not just Bitcoin but all forms of other crypto tokens as well.
Buenaventura, however, did not divulge into details of why there was an instantaneous notice of these activities. Neither did he tell why a need to regulate these advertisements arose. The potential cause of risk was never revealed during the conference either.
It must be taken note that this follows an advertising campaign that was organized by a native crypto platform, Bit2me to promote Bitcoin.
The crypto exchange when on to advertise 800 posters all across the capital city, Madrid. Some of these posters also happened to be in close proximity of the CNMV headquarters.
Buenaventura further explained that how the approval of the regulation would be carried out.
He detailed that CNMV would organize a comprehensive public consultation and discuss it with the advisory committee. These steps he said would be conducted before the commission can finally submit it to the Council of State for its approval.
He further reiterated that CNMV was just concerned with the advertisements since that is what they had control over. CNMV doesn’t control cryptocurrencies, or the operations nor the providers. It is also necessary to emphasize that what is controlled by the CNMV are not the assets (cryptocurrencies) or the providers or the operations. It is authorized to regulate only the advertising when they are offered as an investment substitute.
The president also clarified that the government agency would ensure that during this procedure no legitimate business suffers with the recommended ruling.
The financial watchdog has been vigorous in dispensing numerous warnings regarding the high risks cryptos pose bring due to its amplified conjectural nature.