Bitcoin days fell more than 5% cryptocurrencies selling interest again

Bitcoin Monday (November 26th) extended losses to $3843, compared to the daily high encryption currency fell more than 5%, selling pressure again. Other encryption currency also fell sharply, the etheric Fang (Ethereum) ether currency fell 1.6%, Rui Bo (Ripple) Rui Bo coins or similar. Bitcoin latest reported $3880, held above the 2018 low to hit last week, so far this year has lost value 3/4.

The industry believes that the bitcoin crash is the result of many factors together, and regulatory upgrades and money will continue to put pressure on the currency bifurcation.

The large block chain project there is a serious bubble, in block chain infrastructure is not perfect, the market is expected to continue to push practitioners highly unrealistic, eventually encounter real combat, resulting in the continued loss of market confidence.

Recently released a research report shows that the company last year, Ernst & young, analysis of 372 pen (ICO) for the first time issued tokens, 30% lost “almost all” value, and in the use of funds raised by the ICO company in 71%, the company has yet to launch a prototype product.

In addition, due to the bitcoin market is a capital market, volume is relatively small, with large cash users zapan, also easy to cause sharp fluctuations in currency price. So the property industry for its popularization and worried about the prospect of payment.

The global regulators are also the layout of digital currency management system.

According to the relevant provisions of the people’s Bank of Chinese, bitcoin is not issued by the monetary authorities do not have the law, such as monetary compensation of the mandatory property, not the true meaning of money. From the nature point of view, bitcoin is a specific virtual goods, does not have legal status and monetary equivalent, can not and should not be used as currency in circulation in the market.

The SFC said it is considering a “sandbox” or the use of existing laws and regulations related to digital asset risk adjusted, supervision on the implementation of digital currency exchange and encryption portfolio of assets management company. On the basis of the present rules, unless the digital assets are classified as securities or futures contracts, or digital currency transactions are not regulated by the sfc.

Japan in 2017, and “offbeat bitcoin currency” exchange must accept the FSA’s supervision, and the SEC said earlier this year, digital currency exchange may belong to the extent of their competence.

In November, two in 2017 to raise funds through the sale of ICO encryption currency company by U.S. regulators ordered to return funds to investors, because it has no ICO registered as securities. The market worried that other similar companies will be forced to follow suit.

The currency also hit the currency value bifurcation and investor confidence.

“Bitcoin cash” before the announced splits into two different versions. According to reports, the two camps is frantically in the block chain blocks to establish control. This is an expensive task, two groups have been suspected of hoarding a large number of bitcoins, they can sell these assets to provide financial support for their actions.

The British “Financial Times” published an article that is why this dilution ultimately doomed to failure of the crypto currency. Unlike bitcoin to physical gold imitation and defeat, this number does not exist the scarcity of real gold. Although the original bitcoin can only have 21 million, but there is no limit to the number of versions can be split.

Analysts believe that bitcoin market slump could hit speculative individuals, but has little effect on the financial market, with serious bubble clearing, as well as supporting technology mature and the laws and regulations, but is conducive to block chain technology speculation from the “kidnapping”, really good development.

(source: global network exchange)

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