20 Apr '13, 3pm

#TheWeek ▪ Everything you need to know about the Bitcoin boom: What are Bitcoins? They're a virtual currency i...

#TheWeek ▪ Everything you need to know about the Bitcoin boom: What are Bitcoins? They're a virtual currency i...

Why the sudden interest in this currency? Two reasons. One is that Bitcoins' value has been soaring because of what many financial experts think is an unsustainable bubble. You used to be able to buy a Bitcoin for less than a cent, but last week they briefly traded at $266 each, before plunging to $55, and seesawing back and forth in the $100 range. The currency as a whole is now valued at between $1 billion and $2 billion, making Bitcoins worth more than the currency stock of 20 separate countries, including the Seychelles, Liberia, and Gambia. That's led some to argue that Bitcoins could be a serious force in the currency market. The soaring value is tied to the second reason for Bitcoins' popularity: They tap into a growing distrust of governments and the global financial system, serving as a kind of utopian currency for young, digitally sophisticated anarchists, libert...

Full article: http://theweek.com/article/index/242846/everything-you-ne...

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