CHINA banning ICOs, Price Crashes, BTC At $20K in 3 Years? 9/4/17 - Your Daily Hash

CHINA banning ICOs, Price Crashes, BTC At $20K in 3 Years? 9/4/17

If you've been following the markets and news, then you, like me probably woke up to the giant crash in the market today!

According to coinmarketcap:

The total market cap has gone down from $180 Billion to approximately $141 Billion!

BTC, after hitting a historic high, continues downward, now at $4,237.43, down 5.38% today

ETH, which was approaching $400, is now down to $288, down 14.28% today

NEO is down 36.64% today, currently at $18.64

Almost ALL of the top 100 cryptocurrencies are down, but the question is WHY?

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China Banning ICOs

Seven of China's financial regulators announced today in a joint statement, which you can read here , announced why they made the decision to ban ICOs. A translation of their statement is as follows:

The tokens or "virtual currency" used in coinage financing are not issued by the monetary authorities, do not have legal and monetary properties such as indemnity and coercion, do not have legal status equivalent to money, and can not and should not be circulated as a currency in the market use. Source

The article further states that, "all types of currency issuance financing activities shall cease immediately."

Also, the announcement demands that the money of investors who have contributed to these 60 ICOs is returned. Those who refuse will face serious punishment under law. Adding on to this, Financial institutions are barred from conducting business related to "tokens financing transactions".

Ever since the explosion of the ICO phenomena this year, Chinese projects and startups have managed to raise around 40% of the 1 billion dollars of total funding of ICOS.

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United States Securities and Exchanges Commission outlines reasons for potential suspension of ICOs

The U.S SEC (Securities and Exchanges Commission), has also created further reason for people to be cautious with ICOs.

The Office of Investor Education and Advocacy is warning investors about "potential scams involving stock of companies claiming to be related to, or asserting they are engaging in, Initial Coin Offerings (or ICOs)".

There reasons for suspension include:

“A lack of current, accurate, or adequate information about the company – for example, when a company has not filed any periodic reports for an extended period;

Questions about the accuracy of publicly available information, including in company press releases and reports, about the company’s current operational status and financial condition; or

Questions about trading in the stock, including trading by insiders, potential market manipulation, and the ability to clear and settle transactions in the stock.”

Source

The SEC also cautioned the public against "pump and dumps", warning that coins showing signs of that should be avoided.

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BTC approaching 20k?

If the news today scared you, hopefully this will keep you optimistic!

According to this article by cointelegraph, Standpoint Research founder and analyst Ronnie Moas has projected that Bitcoin will reach a value of $15,000-$20,000 by late 2020.

He believes that the total market capitalization of all virtual currencies will rise from todays $150 billion to $2 trillion dollars in the next 10 years. Moas compares the explosion of digital currency to the dot-com boom of the 90s.

He previously predicted the rise of BTC to $5000 and the doubling of Ethereum this year.

Thank you for reading this. What do you make of all this news?

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Sources:
CRYPTO MARKETS LOSE BILLIONS: https://www.coindesk.com/bitcoin-price-drops-by-over-250-as-crypto-markets-lose-billions/

BITCOIN WILL HIT $20,000 IN THREE YEARS: https://cointelegraph.com/news/ronnie-moas-predicts-bitcoin-will-hit-20000-within-three-years

CHINA HALTS 60 ICOS AS COMPANIES CANCEL SALES AWAITING LEGISLATION: https://cointelegraph.com/news/china-halts-60-icos-as-companies-cancel-sales-awaiting-legislation

TOTAL MARKET CAPITALIZATION: https://coinmarketcap.com/

SEC DETAILS REASONS FOR ICO SUSPENSIONS, WARNS ABOUT PUMP AND DUMP: https://cointelegraph.com/news/sec-details-reasons-for-ico-suspensions-warns-about-pump-and-dump

INVESTOR ALERT, PUBLIC COMPANIES MAKING ICO RELATED CLAIMS: https://www.investor.gov/additional-resources/news-alerts/alerts-bulletins/investor-alert-public-companies-making-ico-related

ETHEREUM PRICE SET TO DOUBLE NOW SAYS ANALYST WHO FORCASTED 5000 BITCOIN:
https://cointelegraph.com/news/ethereum-price-set-to-double-now-says-analyst-who-forecasted-5000-bitcoin-by-2018

ANALYST WHO PREDICTED 1987 STOCK MARKET CRASH PREDICTS BEAR MARKET FOR BITCOIN AND ALTCOINS:
https://cointelegraph.com/news/analyst-who-predicted-1987-stock-market-crash-predicts-bear-market-for-bitcoin-and-altcoins