The year 2018 has not seen a great start for virtual currencies. Since January we’ve seen country after country begin placing strict regulations on cryptocurrencies. Aside from that we’ve seen a major heist take place at CoinCheck, a popular exchange in Japan. The heist costed the exchange $500 million. Furthermore, not even a week after the heist, the exchange was subjected to an on site inspection by the FSA.
China, at a time one of the bigger players in the world of cryptocurrencies has since seen a complete ban cryptocurrencies and cryptocurrency exchanges. The United States and Europe are meanwhile searching for ways to tighten up regulations and gain a sense of control over cryptocurrencies.
Just when the ground looked as if it couldn’t get more unstable, problem rose in India. Arun Jaitley, India’s Finance Minister announced that they would look to stop any transactions linked to cryptocurrency. “The government does not consider crypto-currencies legal tender,” He stated in a speech. Concerns that the security may tighten on a global scale has caused many investors to sell.
The ability to make anonymous transactions has been the factor of a lot of negative attention from many governments. Many suspect that it will lead to crimes such as money laundering. Cryptocurrency has also been stolen due to a lot of cyber-attacks. In most cases the hackers couldn’t be found due to being anonymous.
Japan for awhile seemed like the only country that wasn’t slapping down regulations. The country so fully embraced it that they even made it legal tender. Since their heist things have changed. They have even started looking into ways to tighten up security. It looks like they might be placing stricter regulations on cryptocurrencies in the coming weeks. A lawyer with a vast knowledge of cryptocurrencies stated in an interview, “I did not envision (this kind of situation) and have not kept up with the current state of affairs.”