More than $60bn has been wiped off value of major cryptocurrencies in the past 24 hours, coinciding with Google’s announcement that it will outlaw all advertising relating to digital currencies as of June.
The plan by Google to block cryptocurrency advertising on its platform sent the sustained drop in digital currencies’ value into a nosedive. Bitcoin and Ethereum, two of the leading currencies, both saw their value swoon.
Before the announcement, Bitcoin had already lost around half its value since the beginning of the year. At the time of writing, one unit of Bitcoin is worth $8,169. This is down from a peak of almost $20,000 in December, at the end of a year in which the currency soared by 1,500%.
It is now feared Bitcoin’s tumble will reach a low of $2,500 – a level it last saw in 2015.
Yet several in the fintech industry were sanguine at the news. Nauman Anees, CEO of ThinkCoin outlined what he felt Google’s move means for the industry: “We at ThinkCoin welcome this move from Google, as it represents a valuable move toward the mainstreaming of ICOs. The more unscrupulous players in the space, who don’t operate from under any discernible institutional umbrella and seem afraid of regulatory input, have been abusing the possibilities of the technology for too long. Any move which clears the decks for more responsible players is a good one in our view. “One of the benefits of the ThinkCoin ICO project is that is part of a much larger group ThinkMarkets. ThinkMarkets is an established and regulated financial services firm that already complies with the Google guidelines.”
The move by Google comes in a dizzying week for cryptocurrency investors. A day before, the popular currency exchange Coinbase announced the first ever partnership for a digital currency platform with a mainstream bank. The Barclays deal also grants Coinbase a licence from the Financial Conducts Authority and access to the UK’s Faster Payments System.