Price of Bitcoin Falls as South Korea Cryptocurrency Ban of South Korea on Anonymous Accounts Comes into Force

A new regulation of bitcoin and other cryptocurrencies has come into force in one of the biggest markets for trading, South Korea.

The financial authority of the country has banned the use of anonymous accounts for the trading of the highly speculative currencies.

The exchange wallets of the people, which are utilised to hold cryptocurrencies online, will need to match the name on the bank accounts that are tied to the accounts. The move is set to target the limiting of the use of bitcoin exchanges for money laundering.

The price of bitcoin dropped by more than two percent, declining below the $11,000 mark. Its meteoric yet volatile increase along with other cryptocurrencies including ethereum, ripple, and even dogecoin has been moderated since the beginning of the year.

A hack of a major Japanese exchange which was revealed over the weekend had previously sent bitcoin falling down below $11,000. Last December, the value of the cryptocurrency had climbed to within touching distance of $20,000.

The financial regulators of Japan are the first in the world to present rules that are specifically aimed at bitcoin. They are looking into the hack of Coincheck. Last Sunday, the Financial Conduct Authority, the watchdog of the United Kingdom, warned the consumers to more vigilant in order to easily identify scams that involve cryptocurrencies.