Attorney General blasts cryptocurrency exchanges

It’s not just the hacks and outright scams that make cryptocurrency a risky investment. 

According to a report from the office of the New York state attorney general, the exchanges themselves — the places where would-be investors go to buy and sell cryptocurrencies like bitcoin and ether — are not doing enough to protect their customers. And that should concern you. 

The in-depth look at 13 exchanges, released today, details all the ways in which major exchanges fail to guard their customers against fraud, manipulation, and abuse. It’s not a pretty picture. 

“[Virtual] asset trading platforms now in operation have not registered under state or federal securities or commodities laws,” reads the report. “Nor have they implemented common standards for security, internal controls, market surveillance protocols, disclosures, or other investor and consumer protections. Accordingly, customers of virtual asset trading platforms face significant risks.”

That those risks are varied…