Dutch AFM official gearing up to ban retail digital currency derivatives


The Dutch Authority for the Financial Markets (Autoriteit Financiële Markten or AFM) could be gearing up to ban retail investors from trading digital currency derivatives. This is according to recent comments made by Paul-Willem van Gerwen, a senior official of the Dutch financial market regulator. 

In a keynote speech given at the Amsterdam Propriety Traders managers meeting, Gerwen spoke on the rise and impact of digital currency derivatives. He noted that the instrument has become highly popular among asset managers who consider it “highly exciting.” 

However, the official, who heads the AFM’s Capital Markets and Transparency Supervision unit, told the managers that the regulator does not share their sentiment. The AFM considers digital assets to possess risks such as “lack of transparency, manipulation and other forms of criminal activity.” 

He also noted that the market’s volatility carries risks as well. Gerwen warned that…

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