- Bitcoin prices have sunk below $14,000 today as the speculation based sell off continues.
- South Korea released cryptocurrency trading ban agenda.
- Korean tax authorities began raids on cryptocurrency exchanges to invest tax evasion allegations.
- Litecoin and Bitcoin are down but Ethereum’s price is on the rise.
South Korean Cryptocurrency Clampdown
South Korea is a major source of cyrptocurrency demand for the world. The nation’s clampdown catalyzed by the world’s policy makers have struggled to successfully regulate the digital currency markets. South Korea’s Justice minister, Park Sang-ki said in a statement,
There are great concerns regarding virtual currencies and [the] justice ministry is preparing a bill to ban trading of virtual currency on domestic exchanges.
The ban was proposed after “enough discussion” occurred across the country’s government agencies including South Korea’s regulatory bodies. Luckily the ban will require a majority vote in South Korea’s National Assembly. While the news triggered a massive selloff and Bitcoin price decline, it may take years for the ban to be enacted.
There are over a dozen cryptocurrency exchanges in South Korea, according to the Korea Blockchain Industry Association. Bitcoin’s 1,500% growth has surged from interest across numerous demographics from finance professionals to college students.
The nation’s largest cryptocurrency exchanges, Bithumb and Coinone were raided by tax officials and police this week for alleged tax evasion. The raids follow moves by the finance ministry to identify ways to tax the market that has exceeded South Korea’s small cap business index, Kosdaq in trading volume.
By Thursday afternoon, more than 55,000 South Koreans had signed a petition asking the presidential Blue House to stop the crackdown on the virtual currency, which brought the government website to a halt.