Crypto shares have dropped more than 15% on Thursday (December 29) after the market reacted negatively to reports that the FBI is looking into the sale of the popular cryptocurrency.
A total of 2,500 coins were sold in a deal between the FBI and Mt.
Gox, which was described as “the largest cryptocurrency exchange ever”.
The price of the coins has been affected by a recent slowdown in the market.
A major component of the sale, according to Mt.
Gox CEO Mark Karpeles, was that the company would “remove the cryptocurrency from the exchange”.
“We will not be selling the coins or any of our cryptocurrency on Mt.gox,” Karpels wrote on Twitter.
“The coins and their tokens will be transferred to the appropriate party and we will not take any further action.”
The news comes after reports from the Wall Street Journal, the New York Times, CNBC, the Financial Times, and the BBC that the Federal Bureau of Investigation (FBI) is looking at the sale.
“There was a huge uptick in demand for the coins,” said Karpes in a conference call with investors.
“It was a good day, but we’re in a bit of a lull.”
The FBI is not the only government agency looking into cryptocurrency.
On Tuesday, it said it was reviewing Mt.
Sys, another cryptocurrency exchange, as well as Bitfinex, the second largest cryptocurrency trading platform.