Bitcoin is basically a
virtual currency developed by Mt.Gox and once it was predicted to be one of the
largest traded virtual currencies of the world. The system is based on peer to
peer exchange system and its value fluctuates with the advent of time. The
currency is first global decentralized currency and it is not controlled by a
single party. The value of money revolves around two parties without the
intervention of third part that would act as an intermediary. Through this
individuals can acquire this system at a relatively low price and they can
transfer the funds easily within the shortest span of time.
Initially, the Japan
based currency gained the acceptance of people and people initially embraced it
with open arms. However, bitcoin experts in the current
scenario depicts that it would abruptly shut down in the near future. The
company’s website is shutdown and the twitter feed has been cleared. Analysts
were suggesting that the portal of the company might get hacked and it happened
several times when numerous bitcoins were stolen from the system.
The future of this
currency that is virtual in nature is a bit gloomy. This is mainly because of
hacking threats and people stealing bitcoins. Strategists are planning to
enhance the security of exchange and educate people regarding this scenario.
However, banks and other related intermediaries are negating this scenario as
they believe that this would not result in a financial stability of the
economic system. Reports suggest that the in the near future all exchanges
might close and this currency would evade from internet. A viable approach
currently is to sell the bitcoins and convert the amount into liquid cash so
that it would be viable for the customers in both the short and the long run.
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