Bitcoin is up in value to 16,770 dollars! Last time I talked about Bitcoin was a few months ago when it was valued at 4500 dollars. The last month it’s being going up 100% in value! Bitcoin is a digital cryptocurrency also known as BTC. On Sunday it got launched on Cboe Global Markets.
So bitcoin this week has been started to be available on U.S. exchanges like Chicago Mercantile Exchange and Chicago Board Options Exchange. This means you can start to trade on it and hold it in future contracts.
This contract allows you to buy or sell the bitcoin in the future at a certain time. So you hold the BTC asset and in the future you either receive more or have to pay.
This is used by banks and funds to use for risk management. And we really don’t know how it will affect BTC. Because Bitcoin right now both goes up and down a lot. It’s not in a stable stage.
This betting on the future value of bitcoin will be most interesting for investors with more money to take risks with. But Bitcoin is too volatile for the average person to invest in. Since how taxes and things like that work in each country becomes more confusing.
The Winklevoss twins back in 2015 founded a firm that trades cryptocurrency and it’s called Gemini. But the volumes are smaller than on some other exchanges. So it may not be accurate so it may be manipulated a bit. They also have had outages which can be a disaster for an investor.
Cameron Winklevoss said that Bitcoin may go 20 times higher in price. Which can mean eventually that 1 Bitcoin is worth 320 thousand dollars! So it might still be a very good investment. But should only be for people that have money they are willing to risk.