- According to Reuters the European Union may be already prepared to regulate cryptocurrencies if other solutions are not found
- China continues clamping down on crypto trading targeting platforms allowing China-based investors to trade digital currencies on overseas markets
- Taiwan’s central bank is going to explore how blockchain could help improve its operations
After striking a $11 mark the Bitcoin price has retreated below this level in early trading, however, the base scenario seems to still bode well for cryptocurrency buyers. From a technical point of view nothing has changed since Tuesday, hence a bullish candlestick (a morning star) is expected to play a major role over the next couple of days. Nonetheless, the latest stories related to the cryptocurrency block turned out to be equivocal. Let’s begin with China as the country is reportedly targeting platforms which allow the nation’s investors to trade virtual currencies on overseas exchanges. According to people familiar with matter the Chinese watchdog is planning to vet online-payment accounts of businesses and individuals suspected of facilitating trades on offshore crypto venues. As a result, some accounts’ owners could have their assets frozen or even blocked from the domestic financial system if regulators find any anomalies.
Will European Union regulate cryptocurrencies at the federal level?
According to Reuters the European Union seems to be geared up for regulation of cryptocurrencies even at the federal level once other solutions are not found and implemented. During the discussion hosted by Valdis Dombrovskis there were many talks about cryptocurrencies. Conclusions suggest that Europe must adapt to blockchain technology in order to remain competitive. On the other hand there is a broad agreement that investors have to be warned about the dangers of cryptocurrency speculation which has become substantial of late. Finally, there was an agreement with regard to ICOs that it brings both opportunities and dangers to the market. This topic is expected to included on the agenda during the next G20 meeting in Argentina in March so it’s worth keeping a close eye on it.
Litecoin appears to be nearing a crucial trend line which potentially could halt the ongoing corrective move. However, be cautious as a breakout of this level may lead to acceleration of falls. Source: xStation5
Taiwanese central bank is going to research blockchain usage
During his inaugural speech Yang Chin-long, the new governor of the Taiwanese central bank, said that his agency would seek to pay closer attention and remain open-minded on the rapid development of financial technology such as big data and distributed ledger technology. He also acknowledged that such emerging technologies have yet to have a substantial impact on the country’s financial system, however, more attention is needed going forward as they could reshape the system one day.