BSP warns vs bitcoins

ABS-CBN News

Posted at Mar 10 2014 03:46 PM | Updated as of Mar 11 2014 10:06 PM

MANILA, Philippines - The Bangko Sentral ng Pilipinas says it has information that there is some bitcoin trading in the Philippines and warns the public that bitcoin exchanges are unregulated.

The central bank further said that bitcoins themselves aren't backed by hard assets, such as gold, metals or other currencies, increasing the chances their value could plummet.

The BSP also says if a bitcoin or other virtual exchange fails, investors have no legal protection.

It also says the lack of central organization means that if you lose the password to your virtual wallet or virtual account, you may lose your bitcoins forever. - ANC