The rise of CryptoKitties, and Bitcoin of course
15DEC2017
The rise of CryptoKitties, and Bitcoin of course
Bitcoin vs the Dow: the race is on
If you’ve even been remotely following any type of crypto news, you would have been inundated with headlines proclaiming the phenomenal rise in Bitcoin’s price over the last two weeks.
Yes, it’s been increasing in price for the past couple of months but to go from $14k to $18k in the space of one day is definitely something to write about. These increases have some finance professionals wondering if Bitcoin will reach $25k before the DOW does. The latter hit $22k in August, $23k in October and $24k just last week. This results in $1k growth increments roughly every month.
Bitcoin’s upward trajectory is a bit different, with $1k increments being reached in a matter of days or even hours. Based on this, it’s not that much of a stretch to believe that Bitcoin could reach the goal of $25k well before its Dow opponent.
Bitcoin tied up in Tether
If you’re a Bitcoin holder, you’ve probably been smiling ear to ear with the latest run of price increases. However, if you were hoping to cash out, you may be in for a bit of a wait. Getting dollars for your Bitcoin involves a Bitcoin exchange, a buyer (which shouldn’t be too hard to find) and then the actual exchange method, which could involve a wire transfer.
This is where Tether comes in. One Tether is roughly the price of one dollar, that’s actually its selling point. So, what does this have to do with Bitcoin? Simple. Buy Tether with Bitcoin when the latter’s price is high. You’ll know how much dollars you have because of the former’s unique one to one ratio. It is a temporary move until you eventually have the time and energy to convert your Tether into dollars.
However, Tether has been experiencing issues in cashing out said dollars. The last line in their announcement of these problems, ‘first they ignore you, then they laugh at you, then they fight you’, may not bolster support as it may leave users with the sinking thought that it will be an uphill battle to cash out.
CryptoKitties mania
Garnering a ridiculous amount of attention, while congesting the Ethereum network at the same time, this freakishly popular game has previously accounted for over 15% of transactions on the network.
In the midst of all this mania, people have questioned where or not these kitties are securities, i.e.: whether they’ll be able to offer any sort of return on investment. In simple terms: will CryptoKitties make you any money?
Probably not. These cats are kind of like real-world collector’s sports cards, or even Pokémon cards before Pokémon Go became a thing. Fun to collect, and maybe even worth something in the years to come, but probably not the first thing that comes to mind when you think about investing in your future.
As the popularity of crypto increases, so do new developments. It’s an exciting time in the industry as the rest of the world contemplates just how far these virtual currencies can go in the not-too-distant future.
Comments
Post a Comment