Bitcoin Price Slides Amid EU Call to Make Transfers Traceable, Rise of ‘Stablecoins’

Bitcoin has slipped below $30,000 as calls have grown among regulators in the U.S., Europe and Asia for tighter checks on cryptocurrencies and the less volatile digi-currency known as “stablecoins,” The Guardian reported. Bitcoin, the world’s largest cryptocurrency, fell as much as 5 percent to $29,300, its lowest level since June 22, and investors said it was likely to test the $28,600 level touched last month, its lowest since early January, as it faces a variety of regulatory headwinds. Smaller cryptocurrencies also lost around 5 percent. European regulators have outlined plans to make cryptocurrencies more traceable as part of a wider crackdown on money-laundering in the bloc. The European Commission said companies handling virtual assets, such as bitcoin, should become subject to anti-money laundering rules, along with transparency requirements for transfers of crypto-assets. A meeting of the nation’s top regulators agreed that stablecoins — a type of digital currency that is pegged to established currencies such as the U.S. dollar — had the potential to be a useful means of payment. However, more regulation would be needed to protect stablecoin users and the wider financial system. Read more.

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