Digital currency bitcoin kicked off the new year by jumping above $1,000 for the first time in three years late on Sunday, having outperformed all central-bank-issued currencies with a 125 percent climb in 2016. Bitcoin - a web-based "cryptocurrency" that has no central authority, relying instead on thousands of computers across the world that validate transactions and add new bitcoins to the system - jumped 2.5 percent to $1,022 on the Europe-based Bitstamp exchange, its highest since December 2013. Though the digital currency has historically been highly volatile - a tenfold increase in its value in two months in late 2013 took it to above $1,100, before a hack on the Tokyo-based Mt. Gox exchange saw it plunge to under $400 in the following weeks - it has in the past two years been more stable. Its biggest daily moves in 2016 were around 10 percent, still very volatile compared with fiat currencies, but markedly lower than the trading of 2013, which saw daily price swings of as much … [Read more...] about Bitcoin jumps above $1,000 for first time in three years
Mt. Gox, once the world's biggest bitcoin exchange, abruptly stopped trading on Tuesday, shaking investor confidence in the digital currency that is struggling for legitimacy. Below are some facts and FAQs about the fast-growing virtual currency. What is bitcoin? A form of electronic money independent of traditional banking, bitcoins started circulating in 2009 and have become the most prominent of several fledgling digital currencies. The virtual currency relies on a network of computers that solve complex mathematical problems as part of a process that verifies and permanently records the details of every bitcoin transaction that is made. Unlike traditional currencies, where a central bank decides how much money to print based on goals like controlling inflation, no central authority governs the supply of bitcoins. Like other commodities and currencies, its value depends on people's confidence in it. How volatile is it? The dollar … [Read more...] about What is bitcoin and how does it work?
According to a post on the forum of the State Bank of Vietnam's portal, using the virtual currency Bitcoin may be illegal in Vietnam. Bitcoin is a peer-to-peer payment system and independent digital currency introduced as open-source software created in 2009 by a developer who goes by the name of Satoshi Nakamoto. Because of its characteristics, the use of Bitcoin is not regulated by the central bank and the cost for its management is cheaper than credit cards and account transfers. In addition, Bitcoin users do not have to pay fees, and so has attracted many users. In 2013, the price of a Bitcoin went up from USD13 in January to over USD1,100 in the last few months. However, if the Bitcoin system stops working, the responsibility for compensation is unclear. According to Thanh, many experts consider Bitcoin as valid useful currency and hope that its value will continue to rise like that of the stock market. Bitcoin can be bought or exchanged with users, however newly-created … [Read more...] about Expert warns against using Bitcoin
Bitcoin has been making people fortunes in recent times, and a more tangible version of the cryptocurreny is also poised to bring some Lunar New Year cheer to Vietnamese children next month. Metallic coins with Bitcoin logos are joining the popular chocolate coins as alternatives to cash given away in red envelopes known as li xi, or lucky money, to children during Tet, the biggest festival of the year in Vietnam, which will fall in mid February. For the past few months, online shops in Vietnam have been importing coins bearing the Bitcoin logo to sell for VND80,000 ($3.5) to serve the rising demand for the currency that has helped many miners strike it rich following its boom in recent months. Bitcoin, the biggest and best-known cryptocurrency, rose around twentyfold last year, climbing from less than $1,000 to nearly $20,000, a record level which has been attributed to surging demand in China, where authorities say it is being used to channel money out of the country. A seller named … [Read more...] about Coining it in: Bitcoin vs lucky money for Lunar New Year in Vietnam
Vietnam’s banking sector should seek measures to regulate cryptocurrency and other digital assets, and mitigate the ‘dark side’ of technological advances, Prime Minister Nguyen Xuan Phuc requested on Tuesday. During these times of fast technological development, local banks should put those tasks on top of their agenda, in addition to continuously cutting lending interest, controlling inflation and resolving bad debts, the premier said during a meeting to kick-start the banking sector’s 2018 action plan in Hanoi. “The Fourth Industrial Revolution has brought about new issues such as cryptocurrency, which in turn creates new challenges for monetary policymakers, so the banking sector should proactively address these problems,” PM Phuc underlined. He recommended that the banking sector should soon develop a set of measures to regulate bitcoin, a digital currency that uses cryptography for security, and other electronic currencies and assets. … [Read more...] about PM urges Vietnam banking sector to prioritize regulating bitcoin