Is it a bubble? If so, is the bubble going to burst? Many financial experts have said it and, is what they have been predicting finally happening? Bitcoin and the rest of the digital currencies are falling. Specifically, Bitcoin, has lost more than 50% of its value since last December. A lot of other coins have had similar situations. The reasons? Prohibitions in Korea or the Chinese New Year celebration, to the converting into cash to buy presents. But, is it really a bubble bursting?
Bankers and investment gurus like Warren Buffett say Bitcoin has no real value, there is nothing that makes these digital coins valuable. Many fans, on the other hand, see the realistic value of a bitcoin as close to one million dollars. But where should this value come from, what stands in the way of Bitcoin in reality?
Years ago, the value of companies such as Twitter or Google was also difficult to tell. Today, the situation is similar for digital currencies, tokens and coins. The price can be viewed daily on the Internet. But how about its real value?
It’s the idea behind virtual currencies that has a value. Every person with a smartphone and Internet access can now participate in this financial system of the future, all around the world. The hunger of users for a decentralized currency and more freedom within our regulated financial systems cannot be stopped in any way.
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