Bitcoin

Bitcoin

Bitcoin hits $US50,000 for the first time in more than two years. The cryptocurrency is benefitting from an inflow into newly approved spot bitcoin ETFs as well as the S&P 500’s record rally in 2024.

What is Bitcoin?

Bitcoin is a decentralized digital currency that was invented in 2008 by an unknown person or group of people using the name Satoshi Nakamoto. It was introduced as an open-source software in 2009 and is the first cryptocurrency to be created. Bitcoin transactions are recorded on a public ledger called the blockchain, and it operates on a peer-to-peer network, meaning that transactions can be conducted directly between users without the need for intermediaries.

The Rise of Bitcoin

Bitcoin has gained significant attention and popularity over the years, with its price reaching new highs. The recent surge in Bitcoin's value can be attributed to the increased demand from investors, as well as the growing acceptance of cryptocurrencies by mainstream financial institutions. The approval of spot bitcoin ETFs has also contributed to the rise in Bitcoin's price, as it has made it easier for investors to gain exposure to the cryptocurrency.

As Bitcoin continues to make headlines and attract investors, it is important to note that it is a highly volatile asset. Its price can fluctuate dramatically in a short period, making it a risky investment. However, many believe in the long-term potential of Bitcoin and see it as a digital store of value and a hedge against traditional financial systems.