Former UK chancellor of the Exchequer urges caution over bitcoin investments

Former British Chancellor of the Exchequer Philip Hammond urged retail investors to invest in cryptocurrencies “with extreme caution.” This is Money This is Money (the Daily Mail’s Money app) reports.

“If a member of my family asked me whether to invest in cryptocurrency, I would point out that large and reputable asset managers are currently probing the waters… This is almost certainly not suitable for retail investors as a core investment category,” the former chancellor said.

Hammond noted the volatility of cryptocurrencies and warned that it should not be forgotten.

“I know many people who have only limited access to crypto assets, but these are money they’ve written off. It’s gambling money. I think people should be extremely cautious. Many regard them [cryptocurrencies] more as a game than a serious investment,” he added.

In October Hammond joined the team of the custodial service Copper as a senior adviser. His remit includes promoting the UK as a global leader in digital-asset technologies and strategic guidance for the company’s expansion globally.

Later it emerged about Copper’s plans to raise $500 million at a $2.5 billion valuation. Previously the custodian had received $50 million from Target Global and Dawn Capital, and an additional $25 million from Brevan Howard Asset Management of Alan Howard.

Earlier this year, one of Mexico’s wealthiest men, Ricardo Salinas Pliego, urged followers to invest in bitcoin.

Earlier, billionaire Ray Dalio described bitcoin as “an alternative to money”, and fiat money as “garbage” and a problematic asset.

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