UPDATE 10:40 AM PT — Fri. January 19, 2018
Digital currency — bitcoin — recovered from its recent plunge, easing concerns over new regulations.
Bitcoin surged by roughly 30-percent Thursday to over $12,000 per coin, rebounding from a low of about $9,000 the previous day.
These numbers are based on the CoinDesk Price Index, which traces cryptocurrency value on platforms including Bitstamp and Coinbase.
Experts say wild swings exceeding 25-percent reflect a global, liquid, and dynamic trading environment.
However, several governments are still seeking ways to prevent bitcoin market volatility.
Despite the rebound, bitcoin is still 15-percent lower for the year and over 40-percent below its December high of $20,000.
The U.S. Securities Commission says questions need to be answered about cryptocurrency investments.
In a letter to investment groups on Thursday, the commission discussed 30 questions related to digital money.
The questions are meant to clarify how bitcoin is valued and stored, and to address concerns on how the digital currency can be manipulated.
The letter also expressed concerns about investor protection.
This comes as an increasing number of firms are looking to offer investments based on cryptocurrency.