Cryptocurrencies Attempt Recovery Amid Weekly Bloodbath Over Regulatory Concerns
Investing.com – Cryptocurrencies fought on Friday to recover from a weekly bloodbath that saw double-digit losses among their largest members.
These digital assets have experienced a volatile start to 2018 after a massive rally last year as worries over increased regulatory scrutiny hit the market.
Policymakers in South Korea once again indicated on Thursday that they are considering . The country is one is one of the largest markets for major coins like bitcoin and ethereum.
Chinese regulators have moved to rein in financial risks associated with virtual currency trades and pyramid schemes.
The Chinese public security ministry said on Friday that the world’s second largest economy will , including speculation masked as cryptocurrencies and online games. As concerns over investor protection grow across the globe.
The U.S. Securities & Exchange Commission on Thursday , telling the fund industry they want answers to their concerns before endorsing more than a dozen proposed products based on cryptocurrencies.
The SEC’s division of investment management demanded answers to at least 31 detailed questions about how mutual funds or exchange-traded funds based on bitcoin would store, safeguard, and price that asset.
“There are a number of significant investor protection issues that need to be examined before sponsors begin offering these funds to investors,” the SEC’s director of the division of investment management Dalia Blass warned in a letter to fund managers who unleashed a range of proposals for funds holding bitcoin or related assets.
The International Monetary Fund is calling for as it warned of the risks from surging prices.
“Greater international discussion and cooperation among regulators, yes, would be helpful,” IMF spokesman Gerry Rice told reporters Thursday in Washington.
Governments around the world are grappling with how to regulate cryptocurrency trading, and policymakers are expected to discuss the matter at a G20 summit in Argentina in March.
As of 9:19AM ET (14:19GMT), most of the major cryptocurrencies, known for extreme volatility, were registering gains on the back of heavy weekly losses.
Specifically, , the largest by market cap, traded up around 19% at $11,703.00, but was still on track for losses of more than 14% in the last seven days.
Number two rose 3.8% to $1,073.90, with a weekly decline of about 13%.
The more “affordable” competitor traded up 5.5% to $1.61745, reducing its weekly losses to about 18%.
Meanwhile, Bitcoin-offshoot edged forward 0.4% to $1,803.10 but still chalked up a weekly plunge of more than 28%.
Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.