Traders tempted to invest in cryptocurrencies such as bitcoin must carry the burden of responsibility, according to the CEO of a leading cryptocurrency exchange.

"I think ultimately consumers need to look out for themselves, look into the fundamentals of any coin and not rely on any particular exchange to protect them from market volatility," Jesse Powell, founder and CEO of Kraken, told CNBC on Tuesday.

Speaking at the World Government Summit in Dubai, Powell said Kraken conducted a "thorough" evaluation process to ensure every digital coin available on its San Francisco-based exchange was "almost certainly not a scam."

"We make no promises about the future of any coin, things can change when you raise $1 billion in 10 minutes," he said.