Quote from Ndubuisi Ekekwe on December 20, 2017, 6:32 AM

 

Bitcoin will not go away despite all the things critics are throwing at it. But events over the last few hours are showing while it is a very risky investment. When a "currency" does not have a regulator and the exchanges/markets can be controlled by anyone, bad things will surely happen. Sure, nations use policies to shape their currencies, but that is for the good of the country and millions of people.

For Bitcoin, when they "shape”, it may be one only guy in the beach laughing.  Bitcoin exchanges have insider trading problem and that will draw the government attention. Along with other bad news, the currency dropped more than 15% over the last few hours before it recovered.

Wednesday's price fall comes after news on Tuesday that Coinbase, one of the largest cryptocurrency trading platforms, was to allow the trading of bitcoin cash — a spin-off of bitcoin that launched earlier in 2017.

However, just hours after bitcoin cash trading started on Coinbase, the site suspended that trading after bitcoin cash's price spiked, prompting concerns about possible insider trading by people who had been pre-briefed about the announcement.

If government does not get involved after this, I do not think anything else would push them unless we have a Bitcoin-induced global recession. Government should not allow Coinbase to fix this problem by itself. Insider trading is a big issue, even for a currency, not fully recognized by government.

"Given the price increase in the hours leading up the announcement, we will be conducting an investigation into this matter," Coinbase's CEO Brian Armstrong said in a blogpost.

"If we find evidence of any employee or contractor violating our policies — directly or indirectly — I will not hesitate to terminate the employee immediately and take appropriate legal action."