Bitcoin seemed to be recovering at a hangover-ish pace after being pummeled by the grim news of a potential cryptocurrency ban in South Korea.
The recovery, however, was short-lived as it emerged that the UK was weighing its own set of measures to curb cryptocurrency speculation.
“I think in areas like cryptocurrencies like Bitcoin we should be looking at these very seriously precisely because of the way they can be used, particularly by criminals. It is something that has been developing. I think it is something that we do need to look at,” said Prime Minister Theresa May.
Chancellor Phillip Hammond concurred with May, calling for regulation to rein in Bitcoin.
Hammond admitted he was “interested in Bitcoin” but still believed that “we should be cautious about [the cryptocurrency].”
“And possibly, we do need to look at the way we regulate this environment before the amount of outstanding Bitcoin becomes large enough to be systematically important in the global economy. It’s not there yet, but it could get there soon,” he added.
After these statements, Bitcoin lost roughly 10% of its value, sliding from $11,600 to $10,500.