[Bitcoin Now] Stagnating Around 54 Million Won... Ongoing Regulations in Various Countries

US Treasury Reviews Whether Stablecoins Threaten Financial Stability
Chinese State-Owned Power Company Begins Inspection of Cryptocurrency Mining Facilities to Assess Power Consumption

[Image source=Reuters Yonhap News]

[Asia Economy Reporter Gong Byung-sun] The leading cryptocurrency Bitcoin remained in the 54 million KRW range. It is interpreted that regulations on the cryptocurrency market by major countries such as the United States and China, including assessments of the risks of cryptocurrencies, have had an adverse effect.

According to the domestic cryptocurrency exchange Upbit, as of 2:29 PM on the 13th, Bitcoin recorded 54.54 million KRW, down 0.97% compared to the previous day. It rose to 55.52 million KRW at 8:10 AM that day but fell to the 54 million KRW range within two hours. Thereafter, there was little fluctuation.

The United States and China have once again taken steps to regulate the cryptocurrency market. According to Bloomberg, a U.S. economic media outlet, on the 11th (local time), the U.S. Treasury Department is reportedly discussing whether to conduct an official review on whether stablecoins threaten financial stability. If the stablecoin review is decided, it is expected to be conducted by the U.S. Financial Stability Oversight Council (FSOC).

Stablecoins are cryptocurrencies linked to fiat currencies such as the dollar, and unlike existing cryptocurrencies, they have the advantage of stability. Bloomberg reported that stablecoins have grown without regulation and currently about 120 billion USD (approximately 141 trillion KRW) are in circulation. Accordingly, in July, the U.S. Treasury Department also announced that it would prepare regulatory recommendations related to stablecoins within a few months.

In this situation, the global IT company Facebook is struggling to launch the stablecoin ‘Diem’. According to Cointelegraph, a cryptocurrency specialized media outlet, on the 11th, Facebook’s Chief Financial Officer Davis Marcus reportedly met with regulators in Washington earlier this month. To persuade U.S. high-ranking officials who are negative about cryptocurrencies, CFO Marcus argued that Diem’s payment platform Novi could increase accessibility to the financial system, Cointelegraph reported.

China has also tightened the reins on cryptocurrency regulation again. According to UBlockchain, a cryptocurrency specialized media outlet, on the 9th, China’s state-owned power company announced that it would conduct inspections of Bitcoin and cryptocurrency mining facilities. UBlockchain analyzed that Chinese authorities have started inspections to accurately understand how much electricity is consumed by cryptocurrency mining. Since June, Chinese regulators have been applying strong regulations to the cryptocurrency market, stating that they will impose sanctions not only on cryptocurrency mining but also on trading and holders.

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