Bitcoin tumbles as South Korea bans anonymous trading
Fears over the cryptocurrency crackdown leads to mass sell-offs
The value of bitcoin has tumbled for the second consecutive week after the South Korean government announced a ban on anonymous cryptocurrency trading.
Bitcoin prices fell from $11,000 (£7,900) per coin to around $10,179 (£7,300) following the announcement on Tuesday morning, The Daily Telegraph reports, halving in value since its all-time high last December.
This led to mass sell-offs from South Korean investors, who fear the country’s crackdown “could damage demand”, the newspaper says.
Subscribe to The Week
Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.
Sign up for The Week's Free Newsletters
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
The measures have been introduced to prevent children and criminals from trading the digital currency, the paper adds, even though the country “embraced” bitcoin during its recent price hike.
According to ZDNet, South Korean investors will be allowed to trade bitcoin only if they link their bank account to an online trading platform. Those who do not verify their identification will have their exchange accounts banned, the site says. The new regulations come into effect on 30 January.
One of the driving forces behind cryptocurrencies is they “allow for entirely anonymous transactions”, The Independent says. This makes tokens such as bitcoin ideal for those concerned with internet privacy, but some use digital currencies to buy illegal drugs without being traced.
But the news site says the South Korean government’s crackdown could have been worse, as senior ministers “had suggested they might ban trading in bitcoin entirely”.
Create an account with the same email registered to your subscription to unlock access.
Sign up for Today's Best Articles in your inbox
A free daily email with the biggest news stories of the day – and the best features from TheWeek.com
-
The next place you'll find Starlink tech isn't a war zone — it's your airplane seat
Under the Radar Several major airlines are offering free in-flight Wi-Fi through the technology
By Justin Klawans, The Week US Published
-
The fishy diplomacy causing tensions between Bangladesh and India
Under The Radar Exports of a 'sacred' fish were recently suspended during difficult relations for the two nations
By Chas Newkey-Burden, The Week UK Published
-
Today's political cartoons - October 6, 2024
Cartoons Sunday's cartoons - Sunday scaries, in-fighting, and more
By The Week US Published
-
Paraguay's dangerous dalliance with cryptocurrency
Under The Radar Overheating Paraguayans are pushing back over power outages caused by illegal miners
By Chas Newkey-Burden, The Week UK Published
-
Sam Bankman-Fried found guilty: where does crypto go from here?
Today's Big Question Conviction of the 'tousle-haired mogul' confirms sector's 'Wild West' and 'rogue' image, say experts
By Chas Newkey-Burden, The Week UK Published
-
Does looming FTX collapse spell the end of crypto?
Today's Big Question Fall of the embattled cryptocurrency-exchange platform has sent shockwaves through the industry
By Fred Kelly Published
-
How DAOs work – and why they matter
feature Everything you need to know about the major new cryptocurrency trend
By Kate Samuelson Published
-
Millionaire ‘mugged’ of bitcoin fortune by masked raiders
feature Co-founder of ‘Spanish Facebook’ says he was tortured into revealing cryptocurrency passwords
By The Week Staff Published
-
How cybercriminals are hacking into the heart of the US economy
Speed Read Ransomware attacks have become a global epidemic, with more than $18.6bn paid in ransoms in 2020
By The Week Staff Last updated
-
Language-learning apps speak the right lingo for UK subscribers
Speed Read Locked-down Brits turn to online lessons as a new hobby and way to upskill
By Mike Starling Published
-
Brexit-hobbled Britain ‘still tech powerhouse of Europe’
Speed Read New research shows that UK start-ups have won more funding than France and Germany combined over past year
By Mike Starling Published