Businesses related to crypto-currencies are not yet regulated in Montenegro, so their performance is free, the representatives of the Central Bank (CBCG) announced, adding that in our country there is no adequate methodology for assessing the level of transactions in crypto-currencies.
“As businesses related to crypto-currencies are not yet regulated, they can be carried out freely. This means that these businesses are not under the authority of the Capital Market Commission, that is, the CBCG, and there is no adequate methodology for assessing the level of transactions in cryptocurrencies in Montenegro,” representatives of the CBCG said.
The central bank emphasized that there is no legal basis for cryptocurrencies that could classify them as means of payment, electronic money or payment instrument.
The CBCG said that certain sources of private companies for estimating the number of cryptocurrency owners on a global level, such as Triple, speak of a figure of about 7.2 thousand cryptocurrency owners in Montenegro, i.e. 1.16 percent of the population, which puts us in line countries with a relatively low participation of cryptocurrency owners.
“However, we are aware that in the last two years, displaced persons and investors from countries that are in the top ten owners of cryptocurrencies at the global level, such as Russia and Ukraine, and in a slightly smaller number from Turkey, have been living in Montenegro, and that this dynamic consequently affects to a greater number of transactions in cryptocurrencies, including the purchase of real estate”, explained the CBCG.
Until the relevant law is passed, the CBCG, like other financial market regulators, warns potential investors about the risks of investing in cryptoassets related to the fact that it has the characteristics of a speculative investment, cryptoassets do not have coverage, i.e. the guarantee of the CBCG or any other institution.
“Also, the investment amount is not insured, it does not belong to the consumer protection system, nor is it covered by the deposit insurance system, and there is no competent institution that you can turn to for legal protection against losses caused by transactions or investments in crypto-assets,” added representatives of the CBCG.
