Cryptocurrency prices take a hit after Korean government announces new regulations and potential ban

The South Korean government announced new legislation today that would increasingly toughen regulations on the country’s fast-paced cryptocurrency markets. Under the new legislation, Korea, which is the third largest market for cryptocurrencies in the world after the U.S. and Japan, would ban anonymous accounts and continually monitor crypto exchanges.

The Wall Street Journal reported that the Ministry of Justice is considering the possibility of unilaterally closing all crypto exchanges in the country, although didn’t they have not yet provided any detailed guidance or timelines on when such a policy might be enacted.

According to Coindesk, the news caused cryptocurrency prices to take a hit with Bitcoin falling about 12%, dropping from around $15,500 to eventually hitting a bottom of $13611. Ethereum also took a hit of about 8%.