Bitcoin once fell below $40,000, and US regulators said that cryptocurrencies threaten the financial system

Bitcoin fell for a third day on Tuesday, falling below $40,000 for the first time since August. Other cryptocurrencies such as Ethereum and Litecoin also fell sharply.
As of press time, the price of Bitcoin is down about 6.25% to $40,605, according to CoinMarketCap.
During a discussion on cryptocurrencies on Tuesday, U.S. Securities and Exchange Commission (SEC) Chairman Gary Gensler said past examples of banks and other companies offering private forms of money have failed.
Gensler reiterated that U.S. securities rules give the SEC vast power over digital tokens. He also said that Congress could help fill some of the “gaps” in digital token regulation, such as regulating cryptocurrency exchanges.
It comes as U.S. regulators have issued a strong warning to the industry, saying it is in danger of repeating the toxic culture that preceded the 2008 financial crisis.
Michael Hsu, acting comptroller of the U.S. Currency, said Tuesday that cryptocurrencies and decentralized finance could be evolving into a threat to the financial system, just as certain derivatives nearly brought it down more than a decade ago.