'220 Trillion Won Vanished in One Day' Cryptocurrency Price Drop... "Bitcoin Is a Scam"

On the afternoon of the 21st, when the price of Bitcoin fell below 70 million won, the Bitcoin price was displayed on the monitor at Bithumb Gangnam Customer Center in Gangnam-gu, Seoul.
[Photo by Yonhap News]

[Asia Economy Reporter Seoyoung Kwon] The prices of cryptocurrencies, including Bitcoin, continue to decline, increasing concerns.

According to CoinMarketCap, which tracks global cryptocurrency price trends, on the 23rd (Pacific Time), the prices of Bitcoin and Dogecoin fell by approximately 2% and 10%, respectively. On the same day, the total market capitalization of cryptocurrencies vanished by 220 trillion won in just one day.

The sharp drop in cryptocurrency prices is attributed to factors such as forced liquidation of individual investors' derivative 'leverage investments' and variables like President Joe Biden's announcement of capital gains tax rate hikes.

Additionally, there is analysis that investment has contracted due to growing concerns that financial authorities worldwide will crack down excessively on cryptocurrency speculation. In fact, the Turkish government not only banned the use of cryptocurrencies for purchasing goods and services but also arrested 62 individuals related to cryptocurrency exchanges involved in fraud against investors.

Meanwhile, Nassim Taleb, author of "The Black Swan," known for predicting the 2008 financial crisis, referred to Bitcoin as a "hoax." This criticism likens it to an illegal multi-level financial scam known as a "Ponzi scheme." Taleb stated that Bitcoin is pure speculation and explained that even if its price soars to 1 million dollars, his view would not change.

This content was produced with the assistance of AI translation services.