The world’s largest and most popular crypto currency set a new record high of more than $50.000 ($50.191 on Tuesday, to be exact), as more than 500 companies showed their support for digital currencies. Its price has increased five times in one year and of course its return is much higher than that of more traditional investments, such as stocks, gold, and commodities. Investors seem to think that the crypto currency will become one of the mainstream payment methods. Like gold, BTC can be moved, created, and stored outside the prying eyes of any government. Bitcoin exist on a blockchain, which is operated by a network of people who run thousands of computers all over the world, to make sure that no computer will change the rules or ever control the network.
The steady rise of bitcoin is supported by its expanding “adoption” by large companies and especially by Tesla, which announced that it has invested $1.5 billion in cryptocurrency. However, there is a debate going on about whether cryptocurrency has any intrinsic value in general, amid warnings that investors may face huge losses, because cryptocurrencies are particularly speculative.
The number of Bitcoin prices keeps going up, and all BTC holders are beginning to see a bright future. On the other hand, those who do not own any type of cryptos seem to believe that bitcoins have no intrinsic value, because they do not generate cash. Bitcoin also seems to have gained more boost from PayPal, since it announced that it would allow customers to sell, buy and use this particular crypto currency. MasterCard, which has partnered with crypto card providers, also said that it will support some crypto currencies later this year.
The price of Bitcoin is rising, as more and more organisations are treating it as an ordinary investment asset. If BNY Mellon, one of the world largest banks, adds Bitcoin to the list, it will provide people with the opportunity to invest at a low-risk.
Fun fact: If you had invested $1000 for example, in Bitcoin, in 2010, you would have had over $35 million today!