The regulations when investing in cryptocurrencies have tightened as bitcoin increased in value and popularity, but the number of complaints about the virtual currencies filed within the U.S. Consumer Financial Protection Bureau has also increased.
Virtual currencies with the likes of Bitcoin are gaining more and more popularity as an alternative investment because of its rising value in the market. As more and more consumers participate in the trending trade, so are the numbers of complaints against tech companies that are offering the digital currency products.
Jeff Gitlen, the content marketing analyst at LendEDU stated in a report that the virtual currency transactions account for 0.0019 percent of the total complaint that was received by the CFPB. The LendEDU predicts that it could receive more complaints this year for various reasons and could reach to up to 442 complaints as Bitcoin increases in popularity.
The report shows that there were 145,948 complaints were made against 2,731 different companies this year. Complaints varied like personal finance issues, which includes bank accounts and services, credit cards debt collection and money transfers.
One of the problems that cause the reports is that regulators have placed greater restrictions on companies like Coinbase in order to prevent money-laundering and other crimes.
Regulations have tightened as digital currencies like bitcoin have become more popular. Bitcoin’s prices in the market have reached a fresh all0time high of $4,703.42 which is up by almost 70% for the month of August and it is currently trading at around $4,598 for on bitcoin.