regulation

Bitcoin tumbles to 6-week low on fears of regulatory noose tightening

Bitcoin’s spot price was slumping on Tuesday, touching a six-week low below $11,000, as the biggest cryptocurrencies came under pressure across the board.

The selloff follows reports that South Korean Finance Minister Kim Dong-yeon said banning trading in virtual currencies was “a live option.” That has added to ongoing worries about a potential crackdown in what’s considered the world’s third-largest crypto trading market.


PBoC Official Calls for Wider Ban on Chinese Crypto Trading: Report – CoinDesk

A senior official at the People’s Bank of China is reportedly calling for a wider ban on services related to cryptocurrency trading in the country.

Pan Gongsheng, vice governor of the central bank, said, to prevent market risk, the government would apply more strict regulation to end all cryptocurrency trading-related activities and services. The news comes via a Reuters report today, citing an internal memo reviewed by the news agency.

While it’s not yet clear whether the reported memo will become immediate policy, the news indicates the continuing severe stance taken by China’s top regulators towards curbing cryptocurrency speculation and lowering perceived financial risk in the country.

According to the report, Pan said in the memo that a wider ban should extend to services and activities including individual or institutional market-makers, centralized trading platforms, guarantors, or settlement providers like online cryptocurrency wallets.


Chinese bitcoin miners eye sites in energy-rich Canada

MONTREAL/SHANGHAI (Reuters) – China’s Bitmain Technologies is eyeing bitcoin mining sites in Quebec, a company spokesman told Reuters, as expectations of a potential Chinese crackdown on cryptocurrency mining make the energy-rich Canadian province an attractive alternative.

FILE PHOTO: Bitcoin mining computers are pictured in Bitmain’s mining farm near Keflavik, Iceland, June 4, 2016. REUTERS/Jemima Kelly/File Photo
China has grown into one of the world’s biggest sources of cryptocurrency mining but there are signs Beijing is increasing scrutiny of the sector’s players and may ask local authorities to regulate their power use. Bitmain Technologies, operator of some of the largest mining farms in the country, is among several companies looking to expand overseas.


South Korean Government Will Not Implement a Cryptocurrency Trading Ban | BTCMANAGER

The South Korean government will not impose a ban on cryptocurrency trading after all, contrary to the claims of Park Sang-ki, the head of the Justice Ministry.
In an official announcement, South Korean government reaffirms there will be NO TRADING BAN for #cryptocurrency market in the short term and NOTHING IS FINALIZED.
A petition to fire the head of the Ministry of Justice over the #cryptocurrency trading fiasco filed. pic.twitter.com/tb5tDvIV2K
— Joseph Young (@iamjosephyoung) January 11, 2018
Earlier on January 11, Justice Minister Park stated that the Justice Ministry is drafting a bill that would effectively ban cryptocurrency trading for both foreigners and citizens. In a press conference, Justice Minister Park emphasized that the ministry plans to control speculation in the cryptocurrency market by outright banning cryptocurrency trading.
Immediately after the statement of Justice Minister park was released, the Ministry of Strategy and Finance noted that it was only made aware of his statement through media reports and that it does not reflect the viewpoint of the government. The Ministry of Strategy and Finance went on to say that the agency does not support and agree with the premature statement Justice Minister Park.


Cryptocurrency Market Recovers After South Korea Trading Ban Fiasco

The cryptocurrency market has begun to recover after the South Korean cryptocurrency trading ban controversy led the market valuation of cryptocurrencies to fall by more than $100 billion.

Cryptocurrency Market Starting to Recover
Almost immediately after the South Korea Ministry of Justice revealed its plans to continue drafting a cryptocurrency trading ban bill, the price of almost all cryptocurrencies in the global market plunged in value. Merely hours later, the South Korea Ministry of Strategy and Finance publicly stated that it does not support and agree with the cryptocurrency trading ban proposal by the Ministry of Justice.


Indian banks are blocking Bitcoin payments and withdrawals

After many weeks of soaring, Bitcoin price is on the descent, and with that comes the frenzy to sell off. Bitcoin, which had a price close to $ 20,000 at the end of the year is now hovering at $15,000. To add salt to this wound, Indian investors are now facing another crisis all together. Users of many Indian Bitcoin exchanges have been facing difficulty with withdrawals as Indian banks are strangling bitcoin exchanges by blocking payments and withdrawals.

Presently, regulators across the globe, including India, have been struggling to comprehend the underlying blockchain technology and to develop an appropriate response to it.One of the main victims of this crisis is cryptocurrency exchange Koinex.

“In the past few days, many of our users have faced difficulties with INR withdrawals on Koinex. A tussle between our payment service partner and their bank has caused an indefinite delay in the settlement of a large portion of deposits to Koinex in the past 2 weeks. This created a bottleneck in the cash flow of user funds, thus hamstringing INR withdrawals on the platform,” writes Koinex in a blog post.


Multiple Bitcoin debit card providers suspend service under orders of Visa

The Bitcoin community is reeling after several pre-paid crypto debit card providers abruptly suspended service. The companies affected include Bitwala, Cryptopay, Wirex, and TenX.

These services allow individuals to spend cryptocurrencies — predominantly Bitcoin — in traditional brick-and-mortar establishments through a debit card issued by one of the major providers, Visa and MasterCard.


Bitcoin needs to prepare for the attack from banks and governments

“Bitcoin ought to be outlawed.” Those were the ominous words of economist Joseph Stiglitz in an interview with Bloomberg last week. He’s not the first to say it and he certainly won’t be the last. In its short lifetime, Bitcoin managed to survive against all odds It kept grinding through the collapse of Mt Gox. It outlasted critics and doubters …


Judge Dismisses Long-Shot Bid to Overturn New York Bitcoin Regulation – CoinDesk

The New York State Supreme Court has granted a motion to dismiss a years-long lawsuit that tried to overturn a technology-specific regulatory regime that targeted cryptocurrency, a newly released document shows.

Theo Chino, a former bitcoin entrepreneur, sued the New York State Department of Financial Services (NYDFS) in October 2015 over the regulation, often referred to generally as the “BitLicense.” Officially introduced in June 2015, the policy requires bitcoin-related firms that reside in the state to apply for a license to operate.

Chino accused the agency of over-regulating the bitcoin industry, claiming the restrictions it imposed overstepped its ability to regulate companies using the technology. He further claimed that NYDFS’s regulations forced him to shut down his own business.