Bitcoin Just Fell Under $10,000 For This Reason

Wednesday was a tough trading day for cryptocurrency bitcoin.

The digital currency fell almost 9% to below the key level of $10,000 after the Securities and Exchange Commission announced that it would be requiring digital asset exchanges to register with their agency.

Bitcoin hit $9,686 on Coinbase after the SEC’s announcement according to Coinbase.

The SEC statement read as follows:

“If a platform offers trading of digital assets that are securities and operates as an ‘exchange,’ as defined by the federal securities laws, then the platform must register with the SEC as a national securities exchange or be exempt from registration.”

“The SEC staff has concerns that many online trading platforms appear to investors as SEC-registered and regulated marketplaces when they are not. Many platforms refer to themselves as “exchanges,” which can give the misimpression to investors that they are regulated or meet the regulatory standards of a national securities exchange.”