Cryptocurrency values plunge amid Facebook ban, new regulation and heists
Bitcoin and every other cryptocurrency is plunging amid fear and worry over its future.
Bitcoin has fallen nearly 10 per cent over the day, from an already low point over the last week. It’s now fallen to nearly $9,000, a long way from the nearly $20,000 landmark it almost hit in December.
And every other major cryptocurrency including Ripple XRP, Ethereum and Bitcoin Cash is also falling. Many of them are seeing more dramatic swings even than bitcoin: Ripple has dropped nearly 14 per cent over the day, after being hit by its own slides over the last week.
The falling price comes amid a range of different problems. Each would likely have dragged the price down on its own but they have added up to a nearly record-breaking weak performance over the last few weeks.
This week, for instance, Facebook announced that it would be banning all cryptocurrency advertising on its platform. The marketing was being used too much to advertise scams and frauds, it said, and it would be freezing all such content entirely, denting the reputation of digital currencies.
The drop also came as South Korea added new rules on how bitcoin can be traded. After suggesting that the activity could be banned entirely, the government relented but still added a host of regulations, including forcing everyone trading bitcoin to do so using their real name.
There have also been a range of high-profile heists and hacks in recent days. Chief among them was the Coincheck hack, which saw cyber criminals steal the equivalent of $534 million in cryptocurrency, but bitcoin traders in rural England have also been the subject of attempted robbery.