New York Times chose 5 possible events and trends affects sudden depression of the main cryptocurrency. AIN.UA leads a compact translation of the material.
Lack of infrastructure regulation and exchangers
Most cryptocurrency trading occurs outside the US in the absence of regulatory supervision. This gives investors more freedom, but it carries risks.
For example, researchers from the University of Texas published materials that indicate the treatment of Tether cryptocurrency. Its creators, Birfinex, who are allegedly using a ticket to artificially add Bitcoin value.
On November 20, press reports appeared that the United States Department of Justice was investigating cost-handling using Tether. It was believed that all coins would be secured by dollar, but Birfinex and Tether managers could not even prove that their bank accounts existed.
China OKEx Exchange, in turn, changed the working rules without announcing changes in advance. According to the Amber AI hedgerow fund, because of this, the clients lost the millions of dollars. OKEx apologized for ordering the changes, but did not recognize and compensate for the damage, explaining their actions in the fight against disorganized trade.
Where the authorities control the market cryptocurrency, the situation is not the best way to develop.
The Securities and Exchange Commission (SEC) began issuing fines to companies that broke the rules for the treatment of securities during the ICO – the primary ticket announcement. In November, the SEC fined two such companies for $ 250,000 and forced to recognize tickets as securities, with all existing liabilities.
Cryptocurrencies managers that are managed by developers – this is not always good
The NYT addresses a series of hardforks – block sections of main encryptions. So, first by Bitcoin, due to disagreements within the community, last year Bitcoin Cash has separated.
But the new coin existed in this form for a short time. In November, Bitcoin Cash also went through hard tools: Bitcoin ABC and Bitcoin SV have now appeared. According to the announcement, new coins were causing disorder in the market, and exchangers did not learn immediately to work with new coins.
In addition, hard tickets would often like one of the main features of cryptocurrency – their limitations. For example, you can only get 21 million Bitcoin pieces. But what is the point in this restriction, if the number is constantly increasing due to clones.
Cryptocurrencies had to solve real problems. It did not happen
It is believed that Bitcoin will facilitate immediate transfer across borders. Ethereum was supposed to tie millions of computers from all over the world together. Hundreds of other tickets were created with good intentions.
However, technical constraints have slowed the daily use of illnesses – and eliminating restrictions too slowly.
Governments can make cryptocurrency – and better cope with their regulation
In November, IMF Managing Director, Christine Lagard, read a talk about why central state banks should look at publishing their own electronic money. They can facilitate existing payment systems.
At the same time, public administration will reduce the amount of lack of trust of such money. These statements could be very cold interest in current, non-state tickets.
Recall Bitcoin will find at least 85% lower than the maximum historical value. According to Anthony Pompiano, this year there were more vendors or buyers, so the price fell.
We wrote that Bitcoin for the first time in more than one year has dropped below $ 4,000. The course has already begun to recover from a sudden fall.
As analysts from the Forex Club Group stated, the cost of Bitcoin is reducing the market vulnerability background to hacker attacks – after being stolen by the Bitmain mining company more than $ 5.5 million. Analysts say that the Chinese company filed a court case on 9 November, which was the reason for the decline in the cost of most diseases. According to analyst Andrey Shevchishin, Bitcoin can face a fall of up to 1000 dollars.
At the same timeBitPay's crypto processing service director for Sonny Singh's deaths believes that Bitcoin can finish the year 2019 in the range of 15 000 – 20 000 dollars.