Bitcoin jumps above $60,000 (nearly Rs. 43.7 lakhs India Rupee) for the first time, as corporates heavily investing in virtual currency as Bitcoin continues to hit records in terms of its price.
According to CoinMarketCap, The cryptocurrency has hit over $60,012 on Saturday. Bitcoin has been on aggressive rise since March last year. The price of 1 Bitcoin last year march was $5,000 and now it has increase 1200% for the first time, considered as the highly profitable virtual currency. Tesla, Elon Musk’s electric carmaker invested $1.5 billion cryptocurrency, while chief Jack Dorsey and rap mogul Jay-Z, on twitter, said they aim to create a fund to help Bitcoin the biggest “the internet’s currency”.
Bitcoin was launched in 2009 and has hit the headlines in 2017 after reaching from less than $1,000 in January in 2017 to approx $20,000 in December of the same year. This busted quickly in 2018 with bitcoin’s value then wildly sinking below $5,000 by October 2018.
Others big corporates investing in bitcoin includes Wall Street player BNY Mellon, investment fund giant BlackRock and credit card titan Mastercard.
However the last year’s rise has been more normal, with investors and Wall Street finance giants wooed by dizzying growth, the opportunity for profit and asset diversification, and a safe store of value to guard against inflation.
Bitcoins are traded via a decentralized registry system known as a blockchain. The system requires massive computer processing power in order to manage and implement transactions. That power is provided by “miners”, who do so in the hope they will receive new bitcoins for validating transaction data.