New Delhi: A Chinese threat has led to a fall in the price of Bitcoin and other cryptocurrencies. The price of Bitcoin, the world’s largest and popular cryptocurrency, has reached the lowest level since February. The People’s Bank of China has again asserted that digital tokens cannot be used as payment.
With this, the price of Bitcoin in New York dropped by 51. per cent to $ 42,547. The price of this cryptocurrency has fallen considerably over the past week from Elon Musk’s ‘Kabhi Haan, Kabhi Naa’ tweets about Tesla’s holdings in Bitcoin. Now the statement of the State Bank of China has completed the right thing. The price of Bitcoin is now at its lowest level since the beginning of February. The price of ether has also fallen by more than 7 per cent, while the price of internet computer which created panic in the last week has also fallen. The price of Dogecoin, a cryptocurrency that started as a joke, has also come down.
China strict on crypto
Antony Trenchev, managing partner and co-founder of London-based crypto-lender company Nexo, said that it is clear that China is tightening its stance on crypto. The notice issued on the official WeChat account of China’s state-run bank stated that “the virtual currencies should not be used” in the market as they are not real currencies.
The note stated that financial and payment institutions are not allowed to price products or services in virtual currency. China has banned virtual currencies since 2017. Once 90 per cent of its business was in China but now most of the mining business and big companies have gone abroad. China has recently taken steps to release its digital Yuan.