Why is crypto currency legal? Cryptocurrency is not legal tender anywhere in the United States and isn’t backed by the government or a central bank. Its value is based largely on demand.
Is cryptocurrency legal or illegal? Cryptocurrencies are legal in the US. According to the U.S. Department of Treasury’s Financial Crimes Enforcement Network (FinCEN), Bitcoin is a convertible currency with an equivalent value to real currency or one that can act as a substitute for real currency.
Is cryptocurrency legal and safe? Crypto held on an exchange or in a wallet is not FDIC-insured like money in the bank. Make sure you trade and hold your crypto on a platform that offers robust security measures — including keeping a significant amount of holdings in its own cold storage and two-factor authentication for users.
Why you should not invest in crypto? Cryptocurrency markets are notoriously volatile, and the price you pay for an item today may not be what your purchase is worth tomorrow. Plus, many companies experimenting with crypto payments only accept Bitcoin, which experts say is one of the worst cryptos you could choose to pay for something.