How is the Bitcoin market in Korea? Related policy brewing, bitcoin prices are not stable

Whether the ban on bitcoin in South Korea is the benchmark for bitcoin prices

Bitcoin transactions in South Korea account for 6% to 12% of global bitcoin transactions. Whether South Korea banned Bitcoin transactions has become a benchmark for bitcoin prices.

In Seoul, Korea, a virtual currency exchange shop, the screen shows the price of bitcoin. South Korea is studying speculation on how to regulate cryptocurrencies as the recent surge in prices sparked a bitcoin boom.

Experts in the cryptocurrency industry said the fears over the South Korean ban are somewhat exaggerated. Cedric Jeanson, founder and chief executive of BitSpread, one of the world's largest makers of digital money markets, believes the bitcoin trend is evident in the context of the ongoing global digital currency.

On January 11, South Korea's Attorney General Park Sangki -ki said South Korea is preparing a bill to ban all cryptocurrencies in the country's exchanges, leading to a sharp decline in digital currency prices. According to Coinbase, the price of bitcoin dropped more than 12% from its high of the day.

Then, according to Reuters reports, the South Korean presidential office added that the ban was "not yet finalized" but was being considered as the price of Bitcoin soared more than 7%. According to data from Coinbase, on the 11th, bitcoin fell another 5% after its 7% rebound. Reuters mentions that an injunction "may take months or even years" to pass the country's legislature.

Cedric Jeanson, founder and chief executive of BitSpread,

The reason Korean authorities take action is understandably that South Korea is slightly different from other digital money markets.

In South Korea, digital currency is much more expensive than the rest of the world.

The pros and cons of the regulation of digital currencies should be viewed in a broader context of the continued development and growth of the global digital currency.

Jason explained that South Korean authorities are ensuring that the country's digital currency exchange has "appropriate AML / KYC customer identification capabilities, cybersecurity, tax filing procedures and meetings." He added: Regulatory requirements for digital currency exchanges Consistent with the requirements of the online financial platform, it is reasonable that the nature of the transactions of the two activities is similar.

South Korea is one of the major crypto currency markets. According to industry site CryptoCompare, Bitcoin transactions in South Korea account for 6% to 12% of global bitcoin transactions.

In China and South Korea, what they are doing is incorporating cryptocurrencies, exchanges and mines into regulatory compliance. "They did not close everything," said Malachi Salcido, chief executive of Salcido Enterprises, a Bitcoin mining company, on CNBC on January 11. "They're banning those Bypassing the regulatory system and evading taxation is something they should do to help the industry grow. "

And digital money fund manager Brian Kelly believes the South Korean authorities' move will be another obstacle to the rise of South Korea's cryptocurrency. Kelly wrote in an e-mail: South Korea's final bill is unclear, but if they adopt regulatory measures similar to those in Japan, this will be very beneficial for cryptography.

The change in the market over the past few months has been that the incremental buyers of cryptocurrencies are U.S. investors and the number of South Korean investors has decreased.

Rui Bo currency fell sharply by 15% after announcing its cooperation with MoneyGram, the US currency transfer giant. However, according to CoinMarketCap data, Swiss counter currency rose 3% on the 11th.