Estimated reading time: 2 min
Due to the potential for losses, the Financial Conduct Authority (FCA) considers this investment to be high risk.
What are the key risks?
1. You could lose all the money you invest
- The performance of most cryptoassets can be highly volatile, with their value dropping as quickly as it can rise. You should be prepared to lose all the money you invest in cryptoassets.
- The cryptoasset market is largely unregulated. There is a risk of losing money or any cryptoassets you purchase due to risks such as cyber-attacks, financial crime and firm failure.
2. You should not expect to be protected if something goes wrong
- The Financial Services Compensation Scheme (FSCS) doesn't protect this type of investment because it's not a 'specified investment' under the UK regulatory regime – in other words, this type of investment isn't recognised as the sort of investment that the FSCS can protect. Learn more by using the FSCS investment protection checker.
- The Financial Ombudsman Service (FOS) will not be able to consider complaints related to this firm or Protection from the Financial Ombudsman Service (FOS) does not cover poor investment performance. If you have a complaint against an FCA regulated firm, FOS may be able to consider it. Learn more about FOS protection here.
3. You may not be able to sell your investment when you want to
- There is no guarantee that investments in cryptoassets can be easily sold at any given time. The ability to sell a cryptoasset depends on various factors, including the supply and demand in the market at that time.
- Operational failings such as technology outages, cyber-attacks and comingling of funds could cause unwanted delay and you may be unable to sell your cryptoassets at the time you want.
4. Cryptoasset investments can be complex
- Investments in cryptoassets can be complex, making it difficult to understand the risks associated with the investment.
- You should do your own research before investing. If something sounds too good to be true, it probably is.
5. Don't put all your eggs in one basket
- Putting all your money into a single type of investment is risky. Spreading your money across different investments makes you less dependent on any one to do well.
- A good rule of thumb is not to invest more than 10% of your money in high-risk investments.
If you are interested in learning more about how to protect yourself, visit the FCA's website here.
For further information about cryptoassets, visit the FCA's website here.

Bitpanda has managed to not only make the process of investing accessible with its intuitive and pretty damn-good-looking app, but it also brings some features and tools to your fingertips that you won’t find elsewhere.
Originally founded in 2014, Bitpanda still calls Vienna, Austria home. Although “the city of dreams” is where Bitpanda still has its headquarters, it has expanded over the years to become a well-established broker, with a global footprint and over 7 million users.
Bitpanda returns to make its mark
Already with a firm presence throughout Europe and beyond, Bitpanda has returned to the UK shores. For those who never had the pleasure of trading with Bitpanda the first time round, you’re in for a treat.
It’s one thing to return with standard cryptoasset services for UK investors, but it’s a completely different kettle of fish to see a broker return in such a bold way. Bitpanda is showing from the get-go that it’s back with a mission, and it’s not here to mess around.
What does Bitpanda bring for UK investors?
It’s still early days for the relaunch, but Bitpanda UK is already making an impression, packing in features that could give established UK crypto exchanges a run for their money.
Here’s a highlight reel of what UK investors can expect right now (with more updates likely on the horizon):
- UK’s largest crypto selection. Trade over 600 cryptocurrencies, from the big hitters like Bitcoin and Ethereum to smaller and lesser-known altcoins.
- Crypto indices. Unique to Bitpanda, and managed by the reputable MarketVector (VanEck), these pre-built “baskets” make it easy to diversify in one click.
- Staking rewards. You’re able to stake 50+ cryptos and earn rewards with no lock-in periods in nearly all cases, no warm-up periods, weekly payouts and auto-staking ability.

…and there’s more –
- Stay ahead with Spotlight. Cut through the noise with Bitpanda’s “Spotlight” feature, with early access to new, hard-to-discover and fast-evolving crypto projects.
- Start from just £1. The minimum deposit is £10, but you can start investing from just £1. The lower point of entry makes it easier for new investors to dip their toes whilst minimising financial risk. There’s also no platform fee for holding an account with Bitpanda.
- Flat, transparent fees. Because Bitpanda is a broker, you’ll get consistent fees for trades, starting from 0.99%, so you’ll know exactly how much you’re paying with each trade.
- No deposit or withdrawal fees. Unlike some platforms, you can deposit funds into your account with just a few clicks, for free. There’s also no cost when you want to withdraw your money.
- 24/7 trading. Buy and sell crypto anytime, with market access whenever you need it most. The crypto markets move fast, and it’s important to be able to react appropriately.
- Advanced tools. Although Bitpanda is built with simplicity in mind, features like limit orders and built-in real-time market tracking are ready and waiting to help guide your strategy.

Bitpanda’s crypto safety features
Although Bitpanda’s reputation precedes it in terms of safety and security, it’s always reassuring to look under the hood and check exactly what a cryptocurrency broker offers in terms of the measures taken to keep your cryptoassets secure.
Bitpanda puts a heavy focus on keeping your digital assets safe, here’s how it approaches security in the UK:
- Full transparency. All funds and business operations are regularly reviewed by auditors, so you know exactly what’s backing the platform.
- Asset protection. Your holdings are stored in ultra-secure offline cold storage, with proof of reserves and assets verified by independent third parties.
- Advanced encryption. Bitpanda’s dedicated security teams use the latest encryption protocols to protect every part of its infrastructure, including your personal data.
- Round-the-clock cover. The cryptocurrency markets never sleep, and nor should your crypto broker. Bitpanda’s security, operations, and engineering teams are on watch 24/7.
“Bitpanda’s reputation precedes it in terms of safety and security… Holdings are stored in ultra-secure offline cold storage, with proof of reserves and assets verified by independent third parties.”
What’s next for Bitpanda in the UK?
There’s already plenty on offer. Whether you’re after a safe and secure broker, the broadest range of cryptos, a slick and straightforward app, or you simply want to use Bitpanda’s knowledge hub to get a better grasp of the crypto market and how everything works.
Even if none of that floats your boat, you should still watch this space. Because, we could see more assets, tools, and features popping up on the app in the near future. Although Bitpanda has kicked things off with an epic UK crypto offering, this is a broker with big plans and ambitions.
You only need to take a quick peak at the services and lifestyle tools Bitpanda offers its European audience. Hopefully, that’s a taste of what’s to come.
If you want to learn more, you can take a look at our in-depth Bitpanda UK review.
Don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment and you should not expect to be protected if something goes wrong. Take 2 mins to learn more.
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