Crypto

This is a description of crypto. It is not a named public service that runs a blockchain.

A cryptoasset is a digital record of value, or of a right, locked by encryption. It usually sits on a distributed ledger: many computers store the same record, and no single authority has to let you take part. The kind most of them use is a blockchain. The records sit in blocks, linked by cryptography. On a public blockchain, such as Bitcoin's, anyone can read the record.

Crypto activity is not yet regulated in the UK in the way other investments are, and there is no safety net if it goes wrong. A later part of the same account says crypto is largely unregulated, so the Financial Services Compensation Scheme is highly unlikely to cover a loss, while the marketing is regulated. You should see a clear warning that you can lose the money, and you should not be offered a free gift or a refer-a-friend bonus to join. If the warning is missing and an incentive is offered, the firm is not following the Financial Conduct Authority's rules. Even where those rules are followed, you can lose all the money you put in. There are no protections if it goes wrong.

How Bitcoin works is on money and payments. What a firm's register entry, an advert's words and a token's code show is on the checks. Named coins, exchanges, protocols and guides are on Crypto. This card does not list them.