The bitcoin prices have been on the decline over the recent past. This decline can be highly blamed on the government of South Korea which is threatening to ban the trading of the cryptocurrency.
The bitcoin prices have been on the decline over the recent past. This decline can be highly blamed on the government of South Korea which is threatening to ban the trading of the cryptocurrency. The government of South Korea is yet to make solid these plans and come up with a strategy to do this, but it has already resulted in many investors pulling out from the cryptocurrency trade. This is because of the fear that if the government intervenes, many people may lose large sums of money.
Coming behind the United States of America and Japan, South Korea is one the largest market for the bitcoin trade. There are very many currency exchanges that are online operated in South Korea. The country also has the highest demand for digitally online currency. This high demand leads them to get sales for a profit of around 30% as compared to other countries. Digital currency prices are very volatile and the prices rise and fall very easily. In the recent past, the bitcoin prices have significantly fallen and risen and this volatility has been traced back to South Korea, among many other factors. The South Korean government has gone ahead to threaten to ban the trade in cryptocurrency and has also threatened to shut down all digital trade exchanges.
South Korea and bitcoin growth
The digital currency has been able to grow very fast in South Korea due to the good IT infrastructure all over the country. Due to this, many people have been able to access the digital currency leading to a great increase in users of about 14fold. All this has been achieved in a short time of around 3 months. The interest among the population ine online earning by use of bitcoin has been fueled by the slow economic growth coupled with the increased rate of unemployment in the country. To many South Korean people, investing in the bitcoin was one of the easy and innovative ways of earning some extra income.
South Korea has a very large portion of its population investing in bitcoin and other digital currency. When the South Korean government threated to ban the digital currency trade in the country, the message had an impact on the success of the digital currency. The pulling out of the South Korean population from bitcoin and cryptocurrency trade is guaranteed to greatly affect the cryptocurrency trade worldwide. The possible decline in bitcoin prices has motivated many other investors to pull out from investing in digital assets.