Spot trading volumes on the cryptocurrency market are at their lowest for 2021, according to a recent report. They have shrank with a whopping 31.5% in July to 1.9 trillion USD although there were some positive developments in the industry, like the rumours that Amazon may start accepting cryptocurrencies as well as a certain level of institutional endorsement for crypto assets in Germany.
However, despite those developments, the market was severely affected by China’s recent crackdown on the industry in its territory, when it ordered banks and payment providers to stop transactions with digital coins, and then it banned Bitcoin mining in the Sichuan province.
Exchanges also were not spared from the regulatory scrutiny all over the world, with Binance being the biggest target. Regulatory criticism was also aimed at stablecoins, focusing on the potential risk they pose to consumers and the financial system.
Source
This was to be expected, considering what happened in China. Whether the industry will recuperate anytime soon remains to be seen.
However, despite those developments, the market was severely affected by China’s recent crackdown on the industry in its territory, when it ordered banks and payment providers to stop transactions with digital coins, and then it banned Bitcoin mining in the Sichuan province.
Exchanges also were not spared from the regulatory scrutiny all over the world, with Binance being the biggest target. Regulatory criticism was also aimed at stablecoins, focusing on the potential risk they pose to consumers and the financial system.
Source
This was to be expected, considering what happened in China. Whether the industry will recuperate anytime soon remains to be seen.
