Wednesday, January 17, 2018

Doomsday for Bitcoin

Just recently, Bitcoin met the hardest landslide ever before. The chart looks absurdly fluctuating.

There is news against Bitcoin in recent days. China is going to censor transaction of cryptocurrency more strictly than ever before.

CCN: China Looks to Ban & Censor Centralized Cryptocurrency Trading: Reports

Also, the director of Germany's central bank said that cryptocurrencies have to be regulated not in each nation but with a world standard.

Coindesk: German Central Banker: Cryptocurrencies Must Be Regulated On a Global Scale

Germany has won a great reputation in Eurozone with its good fiscal status. The stability of currency is the priority for Germany. In this sense, it is natural the bankers feel threatened by cryptocurrency.

However, it is quite doubtful that a global regulation against cryptocurrency will be made. It is the same as restricting entire P2P transaction.

The Korean government is also eager to regulate cryptocurrency. The authority mentioned the possibility to make a new legislation to regulate Bitcoin trading.

Quartz: South Korea is walking back threats to ban cryptocurrency trading

South Korea has a bitter memory of financial crisis a couple of decades ago. It is also not surprising that Korea is sensitive to the current situation.

I think these comments are not enough to explain recent depression of the cryptocurrency market. But, there may be many people having sold coins due to a panic attack. Also, some people say some funds managed with an algorithm decided together to sell Bitcoin followed by a recent sign of depression.

I believe that the flow of cryptocurrency is unstoppable. And the technology of Blockchain will be still a key to the new era. In this sense, nations focusing on restricting cryptocurrency will become outdated, I think.

Also, the rise of cryptocurrency may pull the trigger of the end of nations themselves. They who are willing to regulate cryptocurrency may feel an instinctive fear.

On the other hand, as I mentioned repeatedly, Bitcoin and other alternatives have still not to be a currency. Nobody can trust such unstable values as money, I am sorry.

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