Status of Cryptocurrency in Today’s World
The virtual currency has raised highly more than 1,000 percent since the start of the last year. Nothing increased so rapidly above the usual level so fast in the financial world before. Now the question is what is fuelling this rapid rise of bitcoin and other cryptocurrencies? This is something that has puzzled many financial analysts and bankers. Famous business magnate Warren Buffett is not alone to caution the investors against cryptocurrency. Garrick Hileman, a researcher from University of Cambridge's Judge Business School, said: "What's happening right now has nothing to do with bitcoin's functionality as a currency - this is pure mania that's taken hold." Despite these cautionary words from financial experts, bitcoin and some other major cryptocurrency continue to rise. But now due to some rumors or misconception regarding digital currency. The value of virtual currency is fallen down some of those rumors are cleared below.
News Responsible for Downfall of Cryptocurrency:-
Statement of India’s finance minister:
Indian finance minister Arun Jaitley said while presenting the Union Budget 2018-19 in the Lok Sabha to eliminate the use of cryptocurrencies for illicit purposes, highlighting that government does not consider them to be legal tender. The government department has said cryptocurrencies are used by criminals to convert their black money into white money. Finance minister said the government would take “all measures” to remove advantage in “financing criminal activities or as part of the payment system”. Despite his strong words against cryptocurrencies use, Mr. Jaitley said the government would explore applications of the blockchain technology that is a key element of it. As advancement in financial technology has become a major project of Prime Minister Narendra Modi’s administration.
Facebook banned advertising:
In an interesting turn of events, Facebook announced that it is removing all cryptocurrency and ICO related ads from its platform claiming such content is “frequently associated with misleading or deceptive promotional practices". This means Facebook users will no longer be flooded by any kind of cryptocurrency, initial coin offering and Bitcoin advertisement on the social media platform. Many of the ICO's were heavily advertising on Facebook in order to gather the hype and in order to gather the new investors as well. Now Facebook is not allowing so, ICOs would not be able to market them heavily.
South Korea Elimination Virtual Currency:
South Korea will no longer allow the use of cryptocurrency trading from Jan30, the nation's finance minister said that a few days back. The reason for this is that majority of the worlds investors in cryptocurrencies belong to South Korea. The population of the country is small but the number of investors is actually pretty high. This is one of the main reasons why cryptocurrencies space is actually impacted. But the government officials released a document now containing all the guidelines for cryptocurrency regulations as it previously promised. Kim Yong bum the Vice Chairman of the Financial Services Commission announced this statement. The real name system will be live for deposit and withdrawal services to cryptocurrency accounts. Existing virtual accounts will be converted to real-name ones at that time. Some of the major banks will implement the new system including Shinhan Bank, Nonghyup Bank, Kookmin Bank, Hana Bank, and Gwangju Bank.
Eradication of Cryptocurrency in US:
The Securities and Exchange Commission is also examining the initial coin offerings carefully now. It has even stopped to some of the initial coin offerings which it thinks are doubtful. When it comes to the initial coin offerings market, the regulation and the regulatory hurdles are increasing as well. A cryptocurrency is a decentralized form of money. Therefore, whenever there is any regulatory hurdle or whenever there is an attempt to control it, it would certainly fall as well.
Bit Woolly - A customized technology solution to create and launch ICO. With blockchain technology, Bit Woolly's ICO platform provides various inbuilt features of Wallet Facility, Smart Contracts, Trade and Exchange, and Highest Security Standards. Bit Woolly's morality market expertise helps your business flourish and get a major advantage on a higher scale.