December 2017 will always remain fresh in the memory of digital currency investors and enthusiasts. Towards the ending of last year, the crypto market experienced a significant upsurge. Almost all the digital currencies in the market tested their all-time highs. Bitcoin (BTC) – the world’s largest digital currency – surged towards the $20k mark, which is its all-time high.
However, a lot of naysayers in the industry said that the value of Bitcoin (BTC) and other digital currencies were manipulated. They have attributed the massive surge to manipulation of prices. Since then, the crypto market has been on a downward trend and the entire crypto market is now down by more than 70 percent.
The US Passes Bills to Prevent Crypto Price Manipulation
Two United States congressmen recently introduced bipartisan bills that are aimed at preventing the manipulation of digital currency prices. The bill is also meant to position the US as a leader in the digital currency industry. The two U.S congressmen are Ted Budd of North Carolina – Republican Representative – and Darren Soto of Florida – Democrat Representative. The bills introduced by the congressmen are:
Digital Currency Consumer Protection Act: This legislation requires the Commodity Futures Trading Commission (CFTC) to clarify how manipulation of price occurs. The bills also require them to recommend price manipulation preventive regulatory charges.
Digital Currency Market and Regulatory Competitiveness Act: This bill requires the Commodity Futures Trading Commission to carry out a comparative study of digital currency regulations in other nations. They are also required to recommend a way to make the U.S highly competitive by providing regulatory clarity and looking for other options to burdensome bills that obstruct innovation.
Digital Currencies Can Enhance Economic Growth
Rep. Ted Budd and Rep. Darren Soto released a joint statement on the 6th of December that pointed out the intense potentials of blockchain and digital currencies. The congressmen said: “Cryptocurrencies and the underlying technology – blockchain – have the potential to drive the growth of the economy. That is why we need to make sure that the U.S is at the forefront.”
The congressmen said the bills they have introduced would protect investors and consumers without affecting the environment of innovation that will enhance the potential of these ground-breaking technologies.
The Value of Bitcoin (BTC) Was Artificially Manipulated
Prof. John M. Griffin said trading patterns indicate that there was arranged manipulation to keep the value of Bitcoin (BTC) artificially high. The professor disclosed this in a 66-page research paper he titled “Is Bitcoin Really Un-Tethered.”
Prof. Griffin is specialized in detecting financial fraud. He claimed that Tether (USDT) was used several times to purchase Bitcoin (BTC) on Bitfinex after the value of the coin slipped. Griffin said this created price support for the digital currency, adding that it had a significant effect on the value of the coin. He said his research would show that there are some people binding the interest of investors for their benefits.
Bitcoin (BTC) Price Today – BTC / USD
At the time of writing, Bitcoin (BTC) is changing hands at $3,468 after an increase of about two percent over the past twenty-four hours. The current market cap of the digital currency is $60.40 billion and its trading volume over the past twenty-four hours is $6.19 billion.
Princess Ogono is a writer, lawyer and fitness enthusiast. She believes cryptocurrencies are the future. When she's not writing, she spends time with her adorable cat, Ginger and works out often.