Bitcoin, Etherium And Ripple Crash Amidst New Regulations

Regulations imposed by the South Korean government are having a devastating impact on Bitcoin

Bitcoin, etherium and ripple are all in the middle of a nosedive as cryptocurrencies across the market are crashing.

The digital currencies are experiencing a massive selloff as prices have fallen by as much as 10% this morning.


Read: Why Are Banks And Governments Scared Of Bitcoin?

Bitcoin in particular has come down nearly 40% over the last month despite being valued at around $20,000 a few days ago.

However, it’s still the best performing cryptocurrency ahead of ripple and etherium. The former has dropped as much as 25% while the latter has plunged 15%.

Much of the drop may be precipitated by suggestions that South Korea is looking to impose new regulations on digital currency trading.

Read: Will Ebay Be Accepting Bitcoin As Payment Option Anytime Soon? 

The South Korean government is following in the footsteps of China and Vietnam; two countries which have already imposed measures to try and control cryptocurrencies.

“The government had warned several times that virtual coins cannot play a role as actual currency and could result in high losses due to excessive volatility,” the South Korean government said in a statement, according to Reuters.

Unlike bitcoin, which are mined, ripple are controlled by the firm, which has initially created 100 billion ripple – 38 billion of which are in circulation.

And ripple can release one billion further coins each month.

While this means that transaction fees are lower, it does come with its risks.



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