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Tag: bitcoin

Buoyant bitcoin stirs crypto-bubble fears

Buoyant bitcoin stirs crypto-bubble fears

Finance
Bitcoin and other "cryptocurrencies" are big money, virtually as big as Goldman Sachs and Royal Bank of Scotland combined.The price of a single bitcoin hit an all-time high of above $ 3,500 this week, dragging up the value of hundreds of newer, smaller digital rivals in its wake. Now some investors fear a giant crypto-bubble may be about to burst.It has been a year of unprecedented growth for the largely unregulated market, with dozens of new currencies appearing every month in "Initial Coin Offerings" or ICOs. They have achieved value almost instantly, drawing in those who are eager to get in and make a quick buck.At the start of 2017, the total value - or market cap - of all cryptocurrencies in existence was about $ 17.5 billion, with bitcoin making up almost 90 percent of that, accordin...
Bitcoin splits as new currency takes off

Bitcoin splits as new currency takes off

Technology
A new version of Bitcoin has been mined for the first time in the crypto-currency's history.Bitcoin Cash is the result of months of debate and development over how the currency would continue to evolve.Fears of large swings in the value of Bitcoin have so far not been realised - but some exchanges are still adapting to the new currency.One expert said the process had gone smoothly so far and pointed out that trade in Bitcoin Cash seemed "robust".Bitcoin Cash was developed as a measure to increase the capacity of Bitcoin's underlying technology, the blockchain - a digital ledger that records every single transaction.Bigger blocksBecause the old blockchain could only have one megabyte (MB) of data added to it every 10 minutes, transactions have come to be processed at slower rates.Bitcoin Ca...
Bitcoin rebels risk 'currency trading chaos'

Bitcoin rebels risk 'currency trading chaos'

Technology
A split in the Bitcoin community is set to create a new incompatible version of the cryptocurrency on Tuesday.A group of insiders is unhappy with existing plans to speed up transaction times.They plan to offer existing investors a matching amount of a new virtual asset - called Bitcoin Cash - which could put pressure on the value of original bitcoins.One expert has warned there could be trading "chaos" over the coming days.Several popular Bitcoin platforms are refusing to support the new coins.That means investors who currently rely on some Bitcoin currency exchanges and virtual wallets will be unable to take advantage of the offer unless they switch to alternative providers. And moving from one platform to another carries risks of its own."Nobody can be sure how this is going to play out ...
AP Explains: Threat of a bitcoin split avoided, for now

AP Explains: Threat of a bitcoin split avoided, for now

Technology
On the eve of a major change in bitcoin, a threat of a split in the digital currency has been avoided — for now. A move by users to force a change in the computer code by Monday has worked. A majority of "miners" — the core bitcoin users who verify bitcoin transactions around the world — has signaled support. Though the change is designed to improve capacity on the increasingly clogged network, some miners had objected because it could reduce transaction fees they collect. The show of support has helped reverse a slide in the value of bitcoin from around $ 1,900 two weeks ago to roughly $ 2,800 on Monday. However, some uncertainty still remains. A May agreement between large bitcoin companies effectively pushes the threat of a split off until November. And one proposal to launch an altern
Bill Miller, Josh Brown are the latest Wall Street pros to test the bitcoin waters

Bill Miller, Josh Brown are the latest Wall Street pros to test the bitcoin waters

Finance
Some well-known names in the financial industry are buying bitcoin, and more could come.First, investing legend Bill Miller put 1 percent of his net worth into bitcoin in 2014, according to a Forbes report Tuesday. The digital currency is one of the top holdings in Miller's $ 120 million hedge fund, the article said.Reflecting its volatility, bitcoin in 2014 fell from a high of $ 1,023 in Jan. 2014 to a low near $ 287 in October of that year, according to CoinDesk.That puts Miller's bitcoin return anywhere from 126 percent to 707 percent, based on bitcoin's $ 2,315 price Wednesday.Miller left Legg Mason in August 2016 after 35 years and has since founded Miller Value Partners. The legendary investor's Opportunity Trust Fund Class C shares are up 23 percent this year, more than twice the re...