Cryptocurrency investors are faced with another quandary after the Netherlands Authority for Financial Markets (AFM) expressed \u201cserious doubts\u201d over whether entities that are dealing in cryptocurrencies actually conform to licensing laws. In a letter to market participants, the AFM said that risks associated with cryptocurrencies may mean that these companies could actually fall short of their licensing obligations. According to the financial regulator, it \u201chas serious doubts, partly because of the risks associated with cryptos and their management.\u201d Interestingly, cryptocurrency investment is not subject to any form of regulation under the Netherlands Supervision Act, but certain activities may require the providers to obtain a license from the AFM. So far, there is not much legal clarity over cryptocurrency investments in EU countries with the EU Commission being quite ambivalent on the situation. When assessing the current landscape for cryptocurrencies, the authorities also claimed that it found what it termed as \u201ca too limited knowledge of these requirements for market parties.\u201d The AFM seems to imply that there is not enough education on cryptocurrency investments to warrant a sane and serene opportunity. Aside from the risks associated with cryptos, the regulator also raised \u201cserious doubts whether managers of investment institutions in cryptos can meet the requirements for licensing.\u201d Earlier this month, the Netherlands\u2019 central bank joined what seems to be a growing consensus on\u00a0blockchain\u2019s current shortcomings,\u00a0announcing\u00a0the technology implementations available are \u201cnot sufficiently efficient\u201d to service the banking sector. Still, a government report\u00a0released\u00a0in May considered cryptocurrency to be broadly \u201clow risk\u201d in relation to financial stability. The amount of hacks such as the Bitgrail incident, fraudulent ICOs and other general situations such as exchange hacks have dealt a severe blow to the credibility of the markets in general that has seen a decline of over 80% for several cryptocurrencies since the all-time highs in January.