Bitcoin, other cryptocurrencies slump following South Korea crackdown fears

Bitcoin fell to its lowest level since Christmas Day as South Korea's justice minister reaffirmed his plan to prohibit local cryptocurrency exchanges, raising fears that a government crackdown may undermine demand for digital coins in one of the world's most important marketplaces.

A spokeswoman for President Moon Jae-in later downplayed the minister's remarks to reporters on Thursday, saying that the idea is one of several and that nothing has been approved. On December 28, the Korean government announced a number of possibilities for cryptocurrency exchange regulation, including allowing trade to continue under stricter control.