Date of Award

5-2024

Degree Type

Honors College Thesis

Academic Program

Accounting BSBA

Department

Accounting

First Advisor

Steven Stelk, Ph.D.

Advisor Department

Finance, Real Estate, and Business Law

Abstract

Since its inception on January 3, 2009, Bitcoin and other cryptocurrencies have grown in price and popularity. As cryptocurrencies become more well-known to the public, regulators realize that these virtual currencies need to be monitored to some extent. Governments are beginning to intervene, causing controversy among cryptocurrency users regarding whether regulation is beneficial to the industry. For Bitcoin specifically, some believe the lack of government control is a primary benefit of the technology, whereas others believe Bitcoin cannot reach its full potential without government regulation. This research seeks to discover how Bitcoin owners have reacted to news of increased United States government regulation by comparing Bitcoin’s price before and after the public legislative announcements related to cryptocurrency. The results show that Bitcoin prices are significantly lower in the five days following legislative announcements related to cryptocurrency, suggesting that current owners see decreased value in Bitcoin with increased regulation.

Available for download on Wednesday, May 14, 2025

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