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About 2.3m Britons hold cryptocurrencies despite warnings of risk | Cryptocurrencies

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The number of UK adults who hold cryptocurrencies such as bitcoin has risen to an estimated 2.3 million, despite warnings from regulators and the head of the Bank of England that people should be prepared to lose all their money.

Research by the Financial Conduct Authority also revealed that almost 20% of buyers said they were driven by a fear of missing out, while one in seven were going into the red to finance their cryptocurrency purchases.

The median holding has risen from £260 a year ago to £300, though the highest holding reported by a respondent was £7m. Meanwhile, the typical profile of investors was “largely male, over 35 and [in the] AB social grade”, said the FCA.

Amid evidence that a new breed of mainly younger DIY investors are putting their money into the likes of bitcoin, ethereum and Ripple, the FCA conducted detailed research in January which concluded that cryptocurrencies “appear to have become more normalised”, with fewer of those investing regarding them as a gamble, and more as a legitimate alternative asset.

Looking at the main reasons people gave for putting money into bitcoin and other products, 18% responded: “I don’t want to miss out on buying cryptocurrencies.”

While most people said they paid for their cryptocurrency using their own disposable income or cash, 14% said they had turned to some form of borrowing – either a credit card, bank overdraft or loan from friends, family or a financial firm.

Laith Khalaf, a financial analyst at investment firm AJ Bell, said the fact buyers had borrowed to buy cryptocurrency “is simply terrifying”.

He added: “FOMO [fear of missing out] … is never a good motivation for financial decisions. Buying cryptocurrency is a dangerous financial activity, and while many consumers appear to understand the risks, some are carelessly playing with fire.”

The 2.3 million people who are estimated to own cryptocurrency equates to about 4.4% of UK adults, and is up more than a fifth on a year ago, when the figure was 1.9 million.

The FCA research found that “enthusiasm for cryptocurrencies as a product is growing among crypto users”, and that two in three (66%) of owners said they had enjoyed a positive return on their investment, with 11% reporting a loss.

But it also found that while the sector’s profile had increased, “the overall level of understanding has fallen”.

The research comes in the wake of a surge of interest in bitcoin and other digital currencies, fuelled by prices hitting record highs, tweets from high-profile figures such as the Tesla chief executive, Elon Musk, and posts from influencers on sites such as Instagram and TikTok.

Some institutional investors and traditional financial services firms have made moves into the sector, though there have been a series of warnings from senior figures that the extreme volatility of cryptocurrencies means investors could face a wipeout.

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Andrew Bailey, the governor of the Bank of England, said earlier this year that bitcoin had “no intrinsic value at all”, adding: “I’ve said a number of times: ‘Only buy bitcoin if you’re prepared to lose all your money’.”

Regulators at the European Central Bank have compared bitcoin’s meteoric rise to other financial bubbles such as “tulip mania” and the South Sea Bubble, while the FCA said putting money into cryptocurrencies “is high-risk … investors should be prepared to lose all their money”.

Two-thirds of cryptocurrency owners hold bitcoin, while the next most popular were ethereum (35%), Litecoin (21%) and Ripple (18%), according to the FCA research.

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Elon Musk sells Tesla shares worth $6.9bn as Twitter trial looms | Elon Musk

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Elon Musk has sold $6.9bn (£5.7bn) worth of shares in Tesla after admitting that he could need the funds if he loses a legal battle with Twitter and is forced to buy the social media platform.

The Tesla CEO walked away from a $44bn deal to buy Twitter in July but the company has launched a lawsuit demanding that he complete the deal. A trial will take place in Delaware in October.

“In the (hopefully unlikely) event that Twitter forces this deal to close *and* some equity partners don’t come through, it is important to avoid an emergency sale of Tesla stock,” Musk said in a tweet late on Tuesday.

In other comments on Twitter on Tuesday, Musk said “yes” when asked if he was finished selling Tesla stock. He also said he would buy Tesla stock again if the Twitter deal does not close.

Musk has committed more than $30bn of his own money to the financing of the deal, with more than $7bn of that total provided by a coterie of associates including tech tycoon Larry Ellison, the Qatar state investment fund and the world’s biggest cryptocurrency exchange, Binance.

Musk, the world’s richest person, sold $8.5bn worth of Tesla shares in April and had said at the time there were no further sales planned. But since then, legal experts had suggested that if Musk is forced to complete the acquisition or settle the dispute with a stiff penalty, he was likely to sell more Tesla shares.

Last week Musk launched a countersuit against Twitter, accusing the platform of deliberately miscounting the number of spam accounts on the platform. Twitter has consistently stated that the number of spam accounts on its service is less than 5% of its user base, which currently stands at just under 238 million. Legal experts have said that Musk will find it hard to convince a judge that Twitter’s spam issue represents a “company material adverse effect” that substantially alters the company’s value – and therefore voids the deal.

Musk sold about 7.92m Tesla shares between 5 August and 9 August, according to multiple filings. He now owns 155m Tesla shares or just under 15% of the electric carmaker.

The latest sales bring total Tesla stock sales by Musk to about $32bn in less than one year. However, Musk remains comfortably ahead of Jeff Bezos as the world’s richest man with an estimated $250bn fortune, according to the Bloomberg billionaires index.

Tesla shares have risen nearly 15% since the automaker reported better-than-expected earnings on 20 July, also helped by the Biden administration’s climate bill that, if passed, would lift the cap on tax credits for electric vehicles.

Musk also teased on Tuesday that he could start his own social media platform. When asked by a Twitter user if he had thought about creating his own platform if the deal didn’t close, he replied: “”.

With Reuters

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Iran reveals use of cryptocurrency to pay for imports • The Register

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Iran has announced it used cryptocurrency to pay for imports, raising the prospect that the nation is using digital assets to evade sanctions.

Trade minister Alireza Peyman Pak revealed the transaction with the tweet below, which translates as “This week, the first official import order was successfully placed with cryptocurrency worth ten million dollars. By the end of September, the use of cryptocurrencies and smart contracts will be widespread in foreign trade with target countries.”

It is unclear what Peman Pak referred to with his mention of widespread use of crypto for foreign trade, and the identity of the foreign countries he mentioned is also obscure.

But the intent of the announcement appears clear: Iran will use cryptocurrency to settle cross-border trades.

That’s very significant because Iran is subject to extensive sanctions aimed at preventing its ability to acquire nuclear weapons and reduce its ability to sponsor terrorism. Sanctions prevent the sale of many commodities and technologies to Iran, and financial institutions aren’t allowed to deal with their Iranian counterparts, who are mostly shunned around the world.

As explained in this advisory [PDF] issued by the US Treasury, Iran has developed numerous practices to evade sanctions, including payment offsetting schemes that let it sell oil in contravention of sanctions. Proceeds of such sales are alleged to have been funnelled to terrorist groups.

While cryptocurrency’s anonymity has been largely disproved, trades in digital assets aren’t regulated so sanctions enforcement will be more complex if Iran and its trading partners use crypto instead of fiat currencies.

Which perhaps adds more weight to the argument that cryptocurrency has few proven uses beyond speculative trading, making the ransomware industry possible, and helping authoritarian states like Iran and North Korea to acquire materiel for weapons.

Peyman Pak’s mention of “widespread” cross-border crypto deals, facilitated by automated smart contracts, therefore represents a challenge to those who monitor and enforce sanctions – and something new to worry about for the rest of us. ®

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Edwards Lifesciences is hiring at its ‘key’ Shannon and Limerick facilities

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The medtech company is hiring for a variety of roles at both its Limerick and Shannon sites, the latter of which is being transformed into a specialised manufacturing facility.

Medical devices giant Edwards Lifesciences began renovations to convert its existing Shannon facility into a specialised manufacturing centre at the end of July.

The expansion will allow the company to produce components that are an integral part of its transcatheter heart valves. The conversion is part of Edwards Lifesciences’ expansion plan that will see it hire for hundreds of new roles in the coming years.

“The expanded capability at our Shannon facility demonstrates that our operations in Ireland are a key enabler for Edwards to continue helping patients across the globe,” said Andrew Walls, general manager for the company’s manufacturing facilities in Ireland.

According to Walls, hiring is currently underway at the company’s Shannon and Limerick facilities for a variety of functions such as assembly and inspection roles, manufacturing and quality engineering, supply chain, warehouse operations and project management.

Why Ireland?

Headquartered in Irvine, California, Edwards Lifesciences established its operations in Shannon in 2018 and announced 600 new jobs for the mid-west region. This number was then doubled a year later when it revealed increased investment in Limerick.

When the Limerick plant was officially opened in October 2021, the medtech company added another 250 roles onto the previously announced 600, promising 850 new jobs by 2025.

“As the company grows and serves even more patients around the world, Edwards conducted a thorough review of its global valve manufacturing network to ensure we have the right facilities and talent to address our future needs,” Walls told

“We consider multiple factors when determining where we decide to manufacture – for example, a location that will allow us to produce close to where products are utilised, a location that offers advantages for our supply chain, excellent local talent pool for an engaged workforce, an interest in education and good academic infrastructure, and other characteristics that will be good for business and, ultimately, good for patients.

“Both our Shannon and Limerick sites are key enablers for Edwards Lifesciences to continue helping patients across the globe.”

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