Bitcoin’s 2021 conference took place in Miami last weekend. It was a sign when it once again found itself in the spotlight in the following days.
Some famous bitcoin advocates, like Dogecoin backers, had shown quite a circus at their convention. This humiliating act has amused the audience.
The announcement from the President of El Salvador on adopting bitcoin as a legal currency in countries found in Central America also intensified the mood at the conference. The favorable situation on bitcoin’s state and value had quickly paved its way back to the ground.
FBI Recovers Millions in Bitcoin Ransom
A Russian hacking group that identifies itself as DarkSide hacked a company responsible for distributing fuel from New York to Texas. The computer criminals asked for money from the Colonial petroleum pipeline to repossess their data. This misfortune resulted in a fuel shortage along US Eastern Coast because the pipeline closed down for five days.
The Programmers Received $6 Million as a Ransom from Colonial.
Being a hot issue, the US Department of Justice had publicized a record on Monday from the FBI in relation to the matter. The statement was that the authorized personnel, the FBI, already taken hold of almost $2.6 million of the ransom that transferred to the hackers introduced earlier.
The private key of one of the hackers’ bitcoin wallets was accessed by the FBI, giving them the opportunity to seize some ransom amount. However, this small victory doesn’t mean celebration. Since the US law enforcement was able to enter a private bitcoin, widespread speculation had hit the market concerning that it is now possible for the government to be involved in bitcoin.
The headlines had affected the bitcoin’s value, dropping to almost 8 percent. This information had piled up to its existing flaw in cryptocurrency markets.
FBI quickly found itself in a media frenzy, wanting to know how they accessed the wallet. However, FBI assistant special agent Elvis Chen answered that they do not wish to publicize how they accessed the bitcoin’s wallet. In addition to that, this technique can be helpful for future endeavors.
The Taxman is Gunning for Crypto
Internal Revenue Service (IRS) Commissioner Charles Rettig mentioned that Congress needs to authorize the taxation agency for them to be able to track down the cryptocurrency exchange that has a value of more than $10,000 US. This word released before the arrival of the Senate Finance Committee on Tuesday.
It is known that this type of exchange is not recorded. On top of that, there are articulations as to whether adopt cryptocurrency as a legal tender and the intervention attempt of the US government to be involved with some of its global loss in history. Making tax collectors attach themselves to the spotlight.
According to Rettig, the IRS considers the issue to be crucial. Believing that the Congressional authorities should be involved in order to gather information. Crypto investors are demanding IRS show legal authority before permitting them to access their holdings.
If Congress intervened and favored IRS’s request, then all of this issue would halt.
IRS’ main concern is about the main purpose of the crypto, which stays off and not controlled by a government. The total value of the global cryptocurrency has reached over $2.5 trillion.
Crypto Price Falls Continue
The affairs on May 19 had shown a loss of almost $US 13,000 for just one day. Bitcoin’s striking its lowest price followed this episode on Tuesday. According to the exchange, Bitcoin traded just above $US 31,000 before making up for some of its losses.
Adam Button, Chief Currency Analyst that focuses on news and trading websites known as ForexLive, commented on the price chart for bitcoin and called it ugly. The current situation is not favorable on crypto; with all that, fears of a larger sell-off also put questions to the market.
All existing currencies, including Ethereum and Dogecoin, are experiencing a market recession. Analysts observed that this condition would continue to show its vulnerability to nosedive. The ongoing incidents on today’s market are signs that the crypto might go back to its unfortunate event that happened in late 2017 or 2018, or it can be the start of a new strategy that can surface and alter past errors.
Crypto Enters the Crucible
The cryptocurrency world is on the brink of the abyss. It continues to spread globally and some consider it as a legal tender. On top of that, law enforcement agencies have become more involved in the cryptocurrency market because of cybercrime.
Crypto markets are still trying to adjust to new regulations, government control, and technology utilization. This evaluation of this adaptation will be in the future. While it is difficult to predict precisely how cryptocurrencies will live in this uncertain future, it becomes increasingly clear that what will happen in the next few years will be very different from what we see today as cryptocurrencies take their toll.
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