Digital currency topped $42 billion in market capitalization in early April, crystallizing the increasing levels of consumer and business interest in this new arena, according to a report by CryptoCoinsNews, which went on to highlight that the market cap of digital currencies increased over $4 billion in a single day.
Bitcoin leads the charge among digital currencies, but the report suggested holders of bitcoin also hold other currencies and trade into and out of each currency using bitcoin as a sort of stable value medium.
“Everything is up. Ten percent, 20 percent, 30 percent, everything is green,” said Andrew Quentson, author of the analysis.
Bitcoin and other digital currency offerings are viewed mostly as untraceable, spurring a new kick from regulators and government authorities to restrict commerce and trade of the currency. While proponents of bitcoin and other digital currencies tout their desires to hold currency free of the influence of a central bank and outside the hands of the financial system, government officials view untraceable currency as a sweet spot for terrorists, money launderers and other ne’er-do-wells. Recently, ransomware attacks — encrypting a victim’s files with a private key that only the cybercriminal knows, then offering to release them upon payment of a ransom — often demand payment in bitcoin, typically around one bitcoin per attack.
However, new currencies tend to sprout up quickly, making it difficult for regulators to clamp down on the cryptocurrency concept overall. Some alternative cryptocurrencies include Eth, Litecoin and Dogecoin.
Values for all digital currency offerings appear to be at an all-time high, and it’s unclear how long this particular rally may last.
“The boom times are here, folks, so turn the volume up, down the champagne and dance like it’s the ’90s,” Quentson said in the CCN report, “because when the music stops, you’ll probably get a hangover whether you partied or not.”
Source: Mobile Business Insights