Why is Bitcoin losing shine?
Bitcoin is facing a lot of regulatory attention since the beginning of the New Year. This is putting pressure on Bitcoin prices even as it is generating interest among high net-worth individuals, tax evaders as well as commoners looking to make a quick buck. Off-late traders from Asia have been very active on Bitcoin trading exchanges, driving the digital asset's valuations to even greater heights.
The most recent news hitting major cryptocurrencies including bitcoin, ripple and ethereum was the South Korean government's plan to bring a bill that would ban trading in digital currencies. As part of a major crackdown on tax evasion, the South Korean tax authorities recently raided several local cryptocurrency exchanges. The government's tough action also comes on the back of worries that the Bitcoin rage is driving students, housewives into gambling addiction.
Another ironic incident that pulled down crpytocurrencies world, is when a major cryptocurrency Conference in Miami, US organised by Bitcoin put up a notice on its site saying it has stopped accepting Bitcoin for conference ticket due to network congestion and difficulty in processing Bitcoins.
Meanwhile, at 17:24 hours IST, Bitcoin quoted US$13,449.29, down by 9.68 per cent, according to CoinDesk.com.