A top fund manager described the cryptocurrency market as “not an investment -- it’s a religion" in an interview Wednesday on CNBC.

Mark Mobius, fund manager and founder of Mobius Capital Partners, said potential investors should look to crypto markets to “speculate and have fun” rather than as a long-term investment, while also stressing the value of the stock market.

“Stocks definitely are the answer because the devaluation of currency is not going to go away, which means inflation is going to continue at a high rate going forward,” he said on “Squawk Box.” “Don’t forget the U.S. money supply has gone up over 30%."

Mobius isn't alone in downplaying the cryptocurrency market, which has seen bitcoin and ether recently trade near all-time highs. Among others, JPMorgan Chase CEO Jamie Dimon has criticized crypto, calling bitcoin “worthless” and “fool's gold.”

Mobius said the U.S. market “will prosper and continue to do well,” adding many U.S. companies are doing well in emerging markets.

There are multiple reasons to be skeptical of the crypto market due to its volatility and lack of consumer protection. Sen. Elizabeth Warren, D-Mass., has asked Treasury Secretary Janet Yellen to regulate the crypto market as she believes it puts consumers and our financial system “under a growing threat.”

Securities and Exchange Commission Chair Gary Gensler has also expressed his concerns for the crypto market telling Warren that the platform “is not adequately protected” and said that the asset class is “rife with fraud, scams, and abuse.” Gensler asked Congress for additional authority to keep crypto “transactions, products and platforms from falling between the regulatory cracks.”

The Wall Street Journal reported that $4.3 billion was stolen from investors in crypto scams in 2019.

“There’s been huge growth in ones that mimic investing opportunities,” said Kim Grauer, head of research at Chainalysis. “They are becoming more sophisticated, larger in size and they reach into the mainstream, victimizing naive investors."

From October 2020 to June of 2021 crypto investors lost more than $80 million in crypto investment scams in about 7,000 reports, marking a 1,000% increase since fall 2019, according to the Federal Trade Commission.

“All of this plays into the hands of scammers. They blend into the scene with claims that can seem plausible because cryptocurrency is unknown territory for many people," said Emma Fletcher, a program analyst with the FTC.

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