Panic selling ensues after South Korean exchange raids

South Korean tax investigation into exchange platforms caused a massive selloff in cryptocurrency market
11 January 2018   665

Yesterday's news about South Korean authorities instigating inspection raid at two major exchanges are still shaking up the cryptocurrency market. And now not only by sensational value. The panic selling off started recently and the exchange rates quickly started to reflect the mood of the market.

And now into a little more detail. As everyone interested in the topic knows, the Asian traders have a significant impact on world crypto markets. So significant, in fact, that South Korean authorities crack-down on the residential exchange platforms and the possibility of all-out crypto ban may have caused the market to take a nose dive.

This week the second largest in the world crypto exchange Bithumb was forced do disclose all their paperwork to tax collectors and explain to local police, that their platform has no relation to gambling. The last part may be humorous, but the underlying message should be clear – “the Big Brother is watching you” for the exchanges, and will be doing it a lot closer from now on.

Also there are instances of banks that offer crypto accounts being investigated under “crime prevention” pretense. Local news outlet Yonhap News reports that the South Korean Government is developing a set of laws to abolish anonymous trading accounts.

The following media frenzy has caused a massive selloff this morning during the start of trading. And various news outlets falsely reporting that South Korea has banned cryptotrading as a whole doesn't help matters. All of this resulted in massive price drops in Bitcoin, Etherium and Litecoin.

US Authorities to Sell $4.3M Worth Seized BTC

As reported, the Bitcoins were seized during different federal investigations
18 October 2018   90

The US Federal Penitentiary and Marshals Service has announced an auction, during which 660 Bitcoins will be sold, previously confiscated by law enforcement agencies. The current market value of the coins put up for sale is about $ 4.3 million, CoinDesk reports.

Bitcoins offered for sale were seized during federal criminal, civil and administrative investigations.

The auction will be held on November 5, and to participate in it, you must register no later than October 31 and make a deposit of $ 200,000.

The trades will be divided into two parts and include the sale of six blocks of 100 BTC and one more block of 60 BTC. Auction participants will not be able to view other people's rates or change their own.

The Office clarified that part of the assets put up for auction includes Bitcoins, which were seized during the recent investigations into the cases of the traders Teresa Tetley and Thomas Mario Costanzo. Teresa Tetley was sentenced in July to a year in prison on charges of trading in cryptocurrency without the necessary license and laundering money obtained from drug trafficking.

The Marshals do not report which part of the bitcoins seized from Tetley and Costanzo is put up for auction, however, it was previously known that 40 BTC were withdrawn from the first, and 80 BTC from the second.

Two previous major auctions for the sale of confiscated bitcoins were held in the United States in January and March of this year. In the first case, 3813 BTC was sold, in the second - 2170 BTC.