File image: An illustration of bitcoin. (IOL).

CAPE TOWN - Digital cryptocurrency, Bitcoin plunged to unprecedented lows this week, trading at $9,757 (R116 215.14), reports Investopedia. 

This comes after the WorldCoinIndex reportedly showed that the cryptocurrency went down by 8.6%.

The drop is attributed to the Securities and Exchange Commission who reportedly said that it requires cryptocurrency exchanges to register with the agency. The SEC allegedly plans to regulate the crypto market. 

The exchange commission said that if a platform offers trading of digital assets then it should register with the SEC, reports Investopedia. 

READ ALSO: Bitcoin's Tokyo whale sold $400m and he's not done yet

Meanwhile, Independent Media reported on March 8 that Tokyo attorney and bankruptcy trustee, Nobuaki Kobayashi said that he sold about $400 million worth of Bitcoin and Bitcoin Cash since late September. 

Kobayashi is sitting on another $1.9 billion of the tokens and will consider offloading those too as he raises cash to distribute to Mt. Gox’s creditors. Just last month, American business magnate, Warren Buffett, said, off the record, that there is no position in cryptocurrencies.

He cautioned about the volatility of the cryptocurrency, saying that it may lead to a bad ending. 

ALSO READ: Warren Buffett predicts a bad end for cryptocurrencies

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