Cryptocurrency liquidity shrinks following US regulations, greater sense of crisis in domestic virtual currency market

[비즈니스포스트] As domestic and foreign virtual currency liquidity shrinks, there is a possibility that the market will be able to make a comeback.

According to the virtual currency industry on the 15th, domestic cryptocurrency depositors announced the suspension of withdrawals one after another, showing signs of shrinking liquidity, and institutional investors are withdrawing their investments following US regulations.

▲ With domestic cryptocurrency depositors announcing one withdrawal suspension after another, there is a possibility of a market freeze as institutional investors withdraw their investments following US regulations.

After Haru Invest, a domestic virtual currency depositor, recently announced the suspension of deposits and withdrawals, another virtual currency depositor, Delio, also announced the suspension of withdrawals.

Haru Invest announced that there was a problem with some service companies, but the domestic office seems to have been left in a hurry and the main office is located in Singapore, so it is difficult to determine the exact situation.

It is known that the damage occurred because Delio operates part of the virtual money deposit service in the hands of Haru Invest.

Although Haru Invest and Delio announced the suspension of deposits and withdrawals to protect customer assets, the concern has not subsided.

On the coin board, a community where domestic virtual currency investors gather, posts were posted about the disappearance of Haru Invest and the suspension of Delio’s withdrawal on the same day, and users were worried about coin runs (a phenomenon where the demand for conversion virtual money is an existing currency. rush).

In the virtual currency industry, Delio is taking the situation more seriously as it is the first virtual asset deposit service provider (VASP) certified by the Financial Intelligence Unit (FIU) under the Financial Services Commission in January last year.

Although the scale is still small, it is similar in shape to last year when Genesis Global Capital, a US virtual currency lending company, suspended withdrawals and eventually went through liquidation procedures, causing a liquidity crisis in the US virtual currency.

As the possibility of a liquidity crisis in the domestic virtual currency industry grows, news that will lead to a drop in the market price is also being reported in the United States, the largest market.

This is because Gary Gansler, chairman of the US Securities and Exchange Commission (SEC), has recently made statements denouncing the virtual currency industry.

Earlier on the 6th (local time), CNBC reported that Chairman Gary Gansler said, “The United States already has a digital currency called the dollar, and the Japanese yen and the European euro already digitized.” “The United States does not need cryptocurrency.” he did

Accordingly, in the virtual currency industry, it is expected that the regulation of virtual currencies by the US financial authorities will not stop simply to protect investors.

Cryptocurrency liquidity shrinks following US regulations, greater sense of crisis in domestic virtual currency market
▲ Hugo Lee, CEO of Haru Invest. <하루인베스트 홈페이지>

In other words, regulation can go further in the direction of shrinking the industry itself.

On the 5th, the US Securities and Exchange Commission filed a lawsuit against Changpeng Zhao and Binance, the CEO of Binance, the world’s leading virtual currency exchange, and Coinbase, the second largest cryptocurrency exchange, on the 6th for violating securities laws .

The content is slightly different, but the key point is that the operation of exchanges that categorize virtual currency as securities and virtual currency brokers are illegal.

Along with this, the US Securities and Exchange Commission (SEC) announced that Binance Coin, Binance USD, Polygon, Ada, Solana, Filecoin, Sandbox, Exinfinity, Algorand, Decentraland, Coti, Cosmos, Chiliz, Flow, Dfinity, Altcoins such as Near Protocol, Dash, Voyager, and Nexo were cited as guarantees.

As of the 11th, about 45 trillion won in altcoin market capitalization was withdrawn from the securities classification by the US Securities and Exchange Commission, and it is known that the altcoin operators are considering delisting.

Bitcoin, which records the largest market capitalization among cryptocurrencies, is also falling in price.

Although the share of Bitcoin in the total capitalization of the cryptocurrency market has exceeded 50% due to the altcoin crash, it is believed that this is because the money that escaped flowed out and did not flow into Bitcoin.

Coinshares, a virtual currency asset management company, analyzed on the 12th (local time) that large institutional investors are withdrawing money as negative sentiment about virtual currency itself spreads. The amount withdrawn during the previous two months amounted to 417 million dollars (about 535 billion won).

As liquidity drained from the virtual currency market due to the crash of altcoins, all of the top 10 cryptocurrency prices on the morning of the day failed to avoid the decline.

The virtual currency winter that came with the bankruptcy of FTX, the world’s top 3 virtual currency exchanges in November last year, greeted the spring of this year, but the liquidity crisis of domestic virtual currency depositors and the regulatory crisis of the world No. It is believed that it may bring a virtual currency ice age. Reporter Cho Yoon-ho