UK Watchdog Investigating Domestic Cryptocurrency Markets

Uk Watchdog

The Cryptocurrency markets have been struggling to create a solid bull-run. There’s been a lack of support from market fundamentals and the total market capitalization fell to $300 billion earlier today for the first time in the last six weeks.

Although Bitcoin price (BTC) fell steadily in the last couple of weeks, the majority of the top ten altcoins lost significant value during the current selloff. Regulator actions against price manipulation activities and unfair trading practices have added significantly to the selloff.

Source Image: coinmarketcap.com

FCA Investigating Cryptocurrency Markets

The UK’s Financial Conduct Authority (FCA), which is its main financial watchdog, started investigating almost 24 cryptocurrency firms in the United Kingdom to see whether they are complying with fair trading practices.

The U.K. government has also recently formed a task force to check the pros and cons of cryptocurrencies for the country’s financial system. Previously, the United States CFTC launched an investigation surrounding Bitcoin and Ether price manipulation activities. Similar investigations on a small and large scale have also been going on in South Korea.

It appears that regulators all around the globe are planning to root out illegal tactics. During the World Economic Forum and G20 summit, the global regulators have called for uniform action against cryptocurrency markets.

For instance, the French central bank governor, François Villeroy de Galhau, called for “internationally harmonized answers” to address the potential risks of cryptocurrencies.

Altcoins Fumbled More Than Bitcoin

Altcoins fumbled at the higher pace than Bitcoin during the current selloff. Ethereum (ETH) lost almost seventy percent of value from this month high of $825. Bitcoin Cash is among the biggest loser. BCH coin plummeted more than 100% in the last three weeks alone from its three months high of $1,800 it had achieved early this month. The fourth largest coin currently trades around $900 today.

Featured Image: Twitter

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