Bitcoin and Ethereum plummet as South Korea decides on total crypto shutdown

Bitcoin and Ethereum plummet as South Korea decides on total crypto shutdown

The government has also vowed to support research and development into the blockchain on which cryptocurrencies are based.

On Wednesday it was revealed by Justice Minister Park Sang-ki that the government was preparing a law to close all the nation’s exchanges.

Senior official Jung Ki-joon said: “We will respond strongly to cryptocurrency speculation and illegal acts, but we will provide support to research and development relating to blockchain technology.”

“The proposed shutdown of exchanges that the justice minister mentioned recently is one of the measures suggested by the justice ministry to curb speculation.

“A government-wide decision will be made after sufficient consultation and coordination of opinions.”

The South Korean government has twice moved to calm the volatile crypto boom which has swept the country.

Bitcoin currently stands at £9,399 ($12,967) after enjoying highs yesterday of £10,364 ($14,298) having lost £965 ($1,331) of its value in less than 24 hours.

Ethereum was subjected to a similar decline losing £115 ($160) from its starting price of £1,007 ($1,390).

Coinone and Bithumb, two of the country’s biggest exchanges, were raided last week.

Finance minister Kim Dong-yeon called for more consolation from the government on their a response.

He said: “All government ministries agree on the need for a government response to an overheating in cryptocurrency speculation and for a degree of regulation.

The issue of banning exchanges that the justice minister talked about yesterday is a proposal by the Justice Ministry and it needs more coordination among ministries.”

The move is part of a deliberate policy to get trading under control that has hit the market in the last few months.

In September the government banned crowdfunding practice known as initial coin offerings (ICO).

The practice has been used by startup and to fund projects with firms creating their own currency and selling it to raise money for investment.

Original article and pictures take coinsprophecy.com site