On August 11th the Consumer Finance Protection Bureau issued an advisory warning consumers about the risks surrounding Bitcoin and other virtual currencies. Some of the risks the outline are:

  • Unclear costs
  • Volatile exchange rates
  • The threat of hacking and scams
  • Companies may not offer help or refunds for lost or stolen funds

In addition to the advisory they also announce that consumers who have had a problem with virtual currencies can submit a complaint to the bureau. Complaints can be submitted online here. CFPB Director Richard Cordray did say “Virtual currencies may have potential benefits, but consumers need to be cautious and they need to be asking the right questions”. You can see the press release here and read the consumer advisory here.