A lot is happening in the last couple of months. Prices of several cryptocurrencies are surging. When they do, some people are pleased. These are guys who are investing in cryptos. But there is another group that is extremely unhappy. Also, this is a group that is in charge of what they call ‘legal tenders.’ These are various governments. Their fear is understandable. But they are also mistaken. If states continue to do what they are doing now, many people will suffer. At least, some are suffering from actions by various authorities. See what Tom Lee has to say in this video.
Why Are Digital Currencies Sell Even As Governments Get Slaughtered
Starting with the Bitcoin, the price shoots to its all-time highest of $20, 000 in December. Other coins follow suit. But immediately after hitting its all-time highest of $120, 000, the price shrinks. Also, this is the trend until it hits its lowest this year. The price of the bitcoin is as low as $9, 199 two weeks ago. It is from this lowest point in 2018 that it is trying to keep afloat. So many things are happening behind bars. Several governments are issuing threats. Others are not only issuing empty threats but acting. They are enforcing legislation with the aim of killing cryptocurrencies. Coincidentally, the coins are still surviving.
Which countries are making it hard for the digital coins? What are they doing? Here are some of the governments that are now not friendly to the digital coin market:
South Korea
For a long time, South Korea is a leading thriving market for digital coins. In fact, Forbes says that the country is the fifth in the world that has a higher demand for the bitcoin. You can then imagine something triggers the market. It is a disaster. The other thing you need to know about South Korea is that it has excellent IT infrastructure. Above all, this means that there is a reliable internet. Also, this makes digital currency transaction faster. Unfortunately, no foreigner will deposit money in a digital currency account. This law starts to work on January 20, 2018.
China Does Not Have A Problem With Digital Currency
For some time, China does not have a problem with digital coins. But it starts having issues with the currency when there are claims of money laundering. This vice continues to market China especially the Macau region, a tourism destination. At some point, authorities ban VIP junkets. The aim is to shut foreigners who bring and take lots of money. When this does not solve the problem, authorities are now saying different things. The government says it is going to impose even strict measures on cryptos. If this happens, it will hamper the business.
Russia Likes Dogecoin! It is hard to believe what Russia says. At one point, authorities say this about gambling, the next day it says the other. While it is hard to know what authorities say, Russia under Putin is likely to sanction digital currency trade. There are other countries that are silent threats to the coins. The U.S.’s Visa CEO recently says that bitcoin is not a payment method. India closes digital currency accounts, and France puts a task force in charge of cryptocurrencies. All these are just examples. There are many more.
