Bitcoin falls distinctly after China signals crypto crackdown

The country has proscribed financial institutions and payment companies from providing services related to cryptocurrency transactions and warned investors against speculative crypto trading. It was China’s latest attempt to clamp down on what was a burgeoning digital trading market.

Under the ban, such institutions, including banks and online payment channels, must not offer clients any service involving cryptocurrency, such as registration, trading, clearing, and settlement, the three industry bodies – the National Internet Finance Association of China, the China Banking Association and the Payment and Clearing Association of China –  said in a joint statement on Tuesday, Reuters reported on May 19.

Elon Musk’s tweets also fueled the downward journey of Bitcoin. The cryptocurrency is at its lowest of three months and $280 billion wiped off the crypto market.

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