A Treasury committee report has called for greater regulation of the cryptocurrency market.

MPs expressed their concern that consumers were left unprotected in the ‘Wild West’ cryptocurrency industry.

Cryptocurrencies such as Bitcoin and Ethereum are currently unregulated by the FCA and the government, raising concerns over consumer protection.

Due to the lack of regulation, government officials have expressed concern over the propensity of the currencies to be exploited by criminals and the dark web.

Conservative MP Nicky Morgan, the chair of the committee, said the current situation needed be readdressed, to ensure greater protection for cryptocurrency investors.

“Bitcoin and other crypto-assets exist in the wild west industry of crypto-assets. This unregulated industry leaves investors facing numerous risks,” Morgan commented.

“Given the high price volatility, the hacking vulnerability of exchanges and the potential role in money laundering, the Treasury committee strongly believes that regulation should be introduced.”

The FCA said: “The FCA agrees with the committee’s conclusion that bitcoin and similar crypto-assets are ill-suited to retail investors, and as we have warned in the past, investors in this type of crypto-asset should be prepared to lose all their money.”

A Treasury spokesman stated: “We set up the joint Cryptoassets Taskforce earlier this year because we want to better understand the potential risks and benefits of crypto-assets to people, businesses, and the economy.”

The cryptocurrency market has been remarkably volatile as of late, with Bitcoin falling to its lowest levels of the year back in June.

This followed a buoyant 2017 for Bitcoin, with the currency surging past $12,000 in December, reaching record highs.