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Bitcoin price news LIVE – Bitcoin and Ethereum volatile as banks go ‘to war’ on crypto after Elon Musk backs dogecoin

HIGH street banks are going ‘to war’ on cryptocurrencies such as Bitcoin after a spike in fraud, reports the Times

One bank will use technology to ban several million customers from buying ANY digital currencies, it adds.

Ashley Hart, head of fraud at TSB, said: “Platforms and exchanges are rife with fraudsters, and many do not have proper controls to prevent victims losing large sums of monty.

“Crypto is a hotbed for fraud and urgently needs greater regulation and consumer protection.

“Anyone approached to invest in crypto should be extremely wary.”

Despite the warning, Dubaicoin saw its value shoot up 1,000 per cent in just 24 hours despite the price of other cryptocurrencies continuing to fall.

The city’s government has denied any official link, with the authority even claiming it is part of an “elaborate scam”.

The dramatic price rise came as the value of Bitcoin and other cryptocurrencies such as Ethereum continue to struggle.

Meanwhile, Elon Musk tweeted: “Someone suggested changing Dogecoin fees based on phases of the moon, which is pretty awesome haha.”

Read our cryptocurrency live blog below for the very latest updates…

  • ‘ELABORATE SCAM’ CLAIM OVER DUBAICOIN

    Dubaicoin saw its value shoot up 1,000 per cent in just 24 hours despite the price of other cryptocurrencies continuing to fall.

    The city’s government has denied any official link, with the authority even claiming it is part of an “elaborate scam”.

    A statement tweeted by the media office of Dubai’s government said: “Dubai Coin cryptocurrency was never approved by any official authority.

    “The website promoting the coin is an elaborate phishing campaign that is designed to steal personal information from its visitors.”

    The dramatic price rise came as the value of Bitcoin and other cryptocurrencies such as Ethereum continue to struggle.

  • HOW DOES BITCOIN WORK?

    To process Bitcoin transactions, a procedure called “mining” must take place, which involves a computer solving a difficult mathematical problem with a 64-digit solution.

    For each problem solved, one block of Bitcoin is processed. In addition, the miner is rewarded with new Bitcoin.

    To compensate for the growing power of computer chips, the difficulty of the puzzles is adjusted to ensure a steady stream of new Bitcoins are produced each day.

    There are currently about 21million Bitcoin tokens in existence.

    To receive a Bitcoin, a user must have a Bitcoin address – a string of 27-34 letters and numbers – which acts as a kind of virtual postbox.

  • WHAT IS ETHEREUM?

    Ethereum is a cryptocurrency that was released in 2015. It’s the second largest after Bitcoin.

    In fact, some experts believe it has the potential to one day overtake Bitcoin as the dominant coin in the market.

    It was founded by eight people, one of which is 27-year-old cryptocurrency “celebrity” Vitalik Buterin.

    He recently became the world’s youngest crypto billionaire as Ethereum soared in value.

    Ethereum is also a ledger technology – using “blockchain”, like Bitcoin – that companies are using to build new programmes.

  • BANK AIMS TO BAR CRYPTOCURRENCY PURCHASES

    The Times reports one bank plans to use technology to ban its several million customers from buying any digital currencies.

    Cryptocurrency scams often advertised on social media sites have become so common that experts believe many genuine platforms have been infiltrated by scammers.

    Ashley Hart, head of fraud at TSB, said. “Platforms and exchanges are rife with fraudsters, and many do not have proper controls to prevent victims losing large sums of money.

     “Crypto is a hotbed for fraud, and urgently needs greater regulation and consumer protection. Anyone approached to invest in crypto should be extremely wary.”

  • CRYPTO PLATFORM ADS BANNED

    Posters advertising Luno, a crypto currency platform, have been banned for failing to mention the risk of investing in Bitcoin.

    It’s also been slammed for taking advantage of people’s inexperience in the market, writes inews.

    The posters – put up on the Tube in London – claimed: “If you’re seeing Bitcoin on the Underground, it’s time to buy.”

  • DOUBTS OVER DRUG DEALER’S £800,000 BITCOIN HAUL

    A specialist forensic accountant has been called in to analyse a drug dealer’s claims that he made a fortune trading in bitcoin as part of a bid by the Crown to claw back £800,000.

    Dale Pearson is alleged to have made the money from criminal activity and the cash is at the centre of a proceeds of crime battle.

    Pearson is set to fight the action by claiming that he made huge profits by successfully trading in the highly vola- tile cryptocurrency market. Iain Houston, for Pearson, told Dundee sheriff court: “We are awaiting an updated report from a forensic accountant regarding his historical bitcoin trading.

    “The Crown have indicated they would require four weeks to consider that report and perhaps then adjust the settlement figure.”

  • HOW VALUE OF BITCOIN HAS CHANGED

    • 2020: Started at $5,000 before ending the year around $28,000
    • 2021 January: Bitcoin about $36,000
    • February: Bitcoin around $50,000
    • March: Bitcoin about $60,000
    • April: Bitcoin soaring above $62,000
    • May: Bitcoin tumbles to $39,790
  • BITCOIN BEST AS ‘DIGITAL GOLD’

    Cryptocurrency experts reckon that Bitcoin is best used as ‘digital gold’, according to The Times.

    In other words, a “store of wealth and a safe haven in times of turmoil, in the same way that physical gold has been used for centuries,” the paper adds.

    The Times reports, though, that “detractors say that Bitcoin cannot function as such because it is too volatile.

    “Before the recent crash, Bitcoin’s volatility had been in steady decline, leading to hopes that it was maturing as an asset and that its new mandate could soon be fulfilled.”

    However, for some, those hopes were recently ‘dashed’ as the price dramatically dipped.

  • BE WARY OF CRYPTO BUYING!

    Buying cryptocurrencies, like any investment, is a very risky business and making money is never guaranteed.

    You should make sure you know the risks of investing in cryptocurrencies and that you can afford to lose any money you put in.

    Cryptocurrencies are highly volatile, so the value of your investments can go down as well as up in the blink of an eye.

    Some products and cryptocurrency services are very complex to understand.

    You should only invest in things you understand.

  • NATWEST’S TIPS TO AVOID CRYPTO SCAM

    Here are NatWest’s tips to avoid a cryptocurrency scam:

    • If you have been contacted by a “trader” promising large profits and offering to help you invest in cryptocurrency, this is a likely to be a scam.
    • Always have control of your cryptocurrency wallet.
    • If you did not set the wallet up yourself or a cryptocurrency trader persuaded you to download remote access software onto your computer, this could be a sign of a scam. You should stop making payments immediately.
    • Follow FCA advice and check the cryptocurrency firm you are dealing with has been approved by them.
  • ELON MUSK, TWITTER AND CRYPTO

    Are Elon Musk’s tweets “solely responsible for the crypto market movement?” asks Economic Times in India.

    The website writes that “Musk’s tweets are known for his pronouncements on cryptocurrency… he has amassed a considerable fanbase in the crypto market using Twitter.

    “Attributing the rise and fall of a global asset to just one person’s actions seems unwise.

    “Cryptocurrency is not owned or controlled by a single individual or organisation. It is a community in itself.”

  • COIN KING – CRYPTO STABILISED AFTER ELON MUSK CONFIRMED ‘I SUPPORT CRYPTO’

    Elon Musk’s tweet declaring “I support crypto” momentarily helped Bitcoin stabilise at $37,600 after the Tesla chief tanked its price weeks ago.

    In a recent twist, the tech billionaire shared his support for cryptocurrencies over legal tender.

    Musk was asked by fan @TheRealShifo on Twitter: “Yo, Elon, what do you think about the peeps who are angry at you because of crypto?”

    The Tesla boss replied to ‘Shifo’: “The true battle is between fiat & crypto. On balance, I support the latter.”

    Bitcoin has been under pressure after a series of tweets last week by billionaire Tesla CEO and cryptocurrency backer Musk – chiefly his reversal on Tesla accepting Bitcoin as payment.

  • YOUNG INVESTORS FLOCK TO CRYPTO

    Young investors are dipping into the cryptocurrency market, because of the soaring value, says The Times.

    But, the paper warns, “they are hugely volatile” with the value of Bitcoin recently plunging 30 per cent.

    It adds: “The industry’s governance is designed to be weak, which experts say leaves it wide open to fraud.”

  • WHAT WAS ETHEREUM’S PRICE ON MAY 30?

    At the time of writing on May 30, the second-largest cryptocurrency ether was valued at $2,416.18 (£1,702.49), falling around 50 per cent in just two weeks.

    The value of Ethereum has plummeted from $4,260 (£3,002.11) on May 12.

    Ethereum is a cryptocurrency that was released in 2015. It’s the second largest after Bitcoin.

    It was founded by eight people, one of which is 27-year-old cryptocurrency “celebrity” Vitalik Buterin.

    He recently became the world’s youngest crypto billionaire as Ethereum soared in value.

  • BRITS LOSE OVER £135.1MILLION IN SCAMS

    Brits lost about £135.1million ripped off in investment scams last year, says UK Finance, the banking industry’s representative body.

    This sum was 42 per cent more than that lost in 2019, with most victims aged in their 20s and 30s.

  • WOMAN BLEW £300K OF BITCOIN ON SUSHI

    A tech writer has revealed how she blew Bitcoin now worth almost £300,000 on a Sushi dinner for strangers.

    Kashmir Hill revealed she spent 10 of the crypto coins at a restaurant Sake Zone in San Francisco while doing a piece for Forbes in 2013.

    And some seven years later she revealed restaurant owner Yung Chen still has hold of much of her Bitcoin, using the fortune in part to retire.

    Ms Hill revealed her experience in December in a piece of the New York Times, saying she thought it was “silly” that Bitcoin could become a store of value like gold.

    Read more HERE

  • WILL THE CRYPTOCURRENCY MARKET RECOVER?

    Cryptocurrencies like Bitcoin and Ethereum plummeted in value last week after months of record highs.

    Since they went down, billions have been wiped from their value, highlighting the volatile nature of investing in the market.

    The crash came after China announced a crackdown on cryptocurrencies and Bitcoin fan Elon Musk revealed that Tesla would no longer accept it as payment.

    The price of Bitcoin is currently around $36,800 but earlier in the week it had plunged by almost 40% to below $33,000.

    Bitcoin – the biggest cryptocurrency – hit an all-time high of $64,863 back in April.

  • BITCOIN DIPPED OVER 5% ON SATURDAY

    Bitcoin fell 5.2% to $33,849, and Ether was down 6.3% on Satuday, reports Reuters.

    Bitcoin dipped 5.16% to $33,849.47 at 6pm GMT on Saturday, losing $1,842.99 from its previous close.

  • BITCOIN DOWN 37% IN MAY

    The cryptocurrency Bitcoin has lost 37 per cent in May, which if sustained would be its worst monthly performance since September 2011.

    Its drop was triggered by China’s efforts to crack down on mining and trading of cryptocurrencies, and Tesla’s move to halt payments over worries about energy use.

    Energy regulators in China’s Sichuan will soon meet local power companies to gather information on cryptocurrency mining, an official said on Thursday, potentially leading to a clampdown in the country’s second-biggest bitcoin production hub.

  • RISKS OF CRYPTO INVESTMENTS

    The Financial Conduct Authority (FCA) has warned people about the risks of investing in cryptocurrencies.

    • Consumer protection: Some investments advertising high returns based on cryptoassets may not be subject to regulation beyond anti-money laundering requirements. 
    • Price volatility: Significant price volatility in cryptoassets, combined with the inherent difficulties of valuing cryptoassets reliably, places consumers at a high risk of losses.
    • Product complexity: The complexity of some products and services relating to cryptoassets can make it hard for consumers to understand the risks. There is no guarantee that cryptoassets can be converted back into cash. Converting a cryptoasset back to cash depends on demand and supply existing in the market. 
    • Charges and fees: Consumers should consider the impact of fees and charges on their investment which may be more than those for regulated investment products.  
    • Marketing materials: Firms may overstate the returns of products or understate the risks involved.
  • WHAT IS BLOCKCHAIN?

    Digital currencies are powered by a ledger (store of information) called blockchain.

    This is controlled by a network of computers across the globe and not by a central bank, writes The Times.

    It notes that investments aren’t protected by the financial services industry’s safety net.

    A fraud expert at a bank said it was “completely impossible for us to recover the money” lost in scams.

  • WHAT IS ETHEREUM’S PRICE TODAY, MAY 30?

    At the time of writing on May 30, the second-largest cryptocurrency ether was valued at $2,416.18 (£1,702.49), falling around 50 per cent in just two weeks.

    The value of Ethereum has plummeted from $4,260 (£3,002.11) on May 12.

    Ethereum is a cryptocurrency that was released in 2015. It’s the second largest after Bitcoin.

    It was founded by eight people, one of which is 27-year-old cryptocurrency “celebrity” Vitalik Buterin.

    He recently became the world’s youngest crypto billionaire as Ethereum soared in value.

  • NO GUARANTEE WITH CRYPTOCURRENCIES

    Cryptocurrencies are a speculative investment, with limited track records and a lack of reliable basis.

    There is no guarantee that you can convert cryptoassests back into cash, as it may depend on the demand and supply in the existing market.

    Fees and charges may also be higher than with regulated investment products.

    We know that crypto firms may also overstate the returns or understate the risks. Be careful.

  • WHAT WAS BITCOIN’S PRICE SUNDAY MAY 30?

    Bitcoin and Ethereum as well as other cryptocurrencies continue to be volatile as the markets continue their rollercoaster ride.

    The two largest currencies, Bitcoin and Ethereum, have seen prices tumble over the past week.

    The price of Bitcoin has continued to fall since last weekend, dropping 10 per cent, despite rallying earlier this week.

    The price of Bitcoin is currently sitting at $35,861.06 (£25,269.09) on May 30, still well down from its all-time high of $64,621 on April 14 (£45,616).

    Elon Musk‘s comments have continued to impact the cryptocurrency markets.

  • BE WARY OF CRYPTO BUYING!

    Buying cryptocurrencies, like any investment, is a very risky business and making money is never guaranteed.

    You should make sure you know the risks of investing in cryptocurrencies and that you can afford to lose any money you put in.

    Cryptocurrencies are highly volatile, so the value of your investments can go down as well as up in the blink of an eye.

    Some products and cryptocurrency services are very complex to understand.

    You should only invest in things you understand.

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