Here’s a quick rundown of the factors contributing to the carnage:
1). South Korea
Seoul has said that the government intends to crack down on the trading of cryptoassets. Officials have also floated the idea of taxes on crypto trading and other measures to tighten its grip on market considered by some as supporting money laundering and dangerous speculative investing. By some measures, South Korea represents about a fifth of the virtual-trade volume.
Russian President Vladimir Putin said on Tuesday that more oversight of cryptocurrencies may be needed “This is the prerogative of the Central Bank at present and the Central Bank has sufficient authority so far. However, in broad terms, legislative regulation will be definitely required in future,” he said, according to Russian news agency TASS.
The cyber currency known as Bitconnect, which has long drawn a critical eye from cryptocurrency investors because of its use of loans and the manner in which it solicits new investors, shut down. Bitconnect also promised a return of a quarter of a percentage point daily.
5). Bitcoin futures
Futures for bitcoin on exchange platforms are set to expire this month.
10 most important cryptocurrencies’ prices and trends during 12 December 2017.
A fork itself of the original Bitcoin, Litecoin uses the same process to create the coins, and it uses blockchain to decentralize the banking. However, Litecoin still is four times faster, generating “blocks” faster, every 2.5 minutes instead of every 10 that applies to Bitcoin, making it faster and cheaper.
Ethereum, on the other hand, is more of a decentralized app platform than a cryptocurrency, could be boosted by a recent statement by U.S. Securities and Exchange Commission chief Jay Clayton, laying down a sober and knowledgeable overview of initial coin offerings (ICOs). “The technology on which cryptocurrencies and ICOs are based may prove to be disruptive, transformative and efficiency-enhancing,” said Clayton. “I am confident that developments in Fintech will help facilitate capital formation and provide promising investment opportunities for institutional and Main Street investors alike,”