2017 has been quite a year for the cryptocurrency market. Bitcoin, the industry’s most popular currency, has grown by around 400% this year.
Cryptocurrency is purely defined as a digital currency in which encryption techniques are used to regulate the generation of currency units and verify the transfer of funds, functioning independently as a central bank.
“I used Bitcoin twice to buy fake ID,” said a student who requested anonymity.
Other university students play the market like a game and make a profit.
Third-year economics student Laith Shehadeh started her own business in June with another UC student. It is basically a cryptocurrency trading company.
Bitfund Ltd. is a diversified cryptocurrency investment made for the future, according to their website.
“There was a really big bull run in June; a lot of currencies have hit all-time highs, ”Shehadeh said. “I made a lot of money with Ethereum.”
Bitcoin’s biggest questionable rival, Ethereum, is up more than 4,000% this year.
The price of bitcoin hit $ 4,000 this month, and the currency’s market value is around $ 72 billion. Ethereum is worth around $ 32 billion.
Shehadeh saw an opportunity to leverage his knowledge of the markets to increase his liquidity.
“If I’m good at it, I can make money for myself and for others,” he said. “I do a lot of research every day.
Bitcoin isn’t close to being widely accepted, but its massive gains this year have caught the attention of mainstream investors. An exchange named LedgerX has received approval from the Commodities Futures Trading Commission to begin clearing bitcoin options, making it the first such platform regulated by the U.S. government.
The future of cryptocurrency is largely unknown, and immense competition will most likely leave multiple digital platforms behind.
“A lot of currency is going to be stolen in the future,” Shehadeh said.
The market potential is vast, however, and many companies are starting to experiment.
The Chicago Board Options Exchange is working on creating its own list of bitcoin derivatives. Several groups are looking to create a Bitcoin exchange-traded fund, pending approval from the Securities and Exchange Commission.
The U.S. government has taken no action to regulate bitcoin or any other digital currency, but their involvement is critical to the immersion of cryptocurrency into modern commerce. Today, peer-to-peer transactions are the driving force behind the expansion.
“The federal government is the biggest variable in the long-term growth of cryptocurrency,” Shehadeh said.
Snapchat’s top investor Jeremy Liew believes bitcoin will hit $ 500,000 by 2030. Popular computer programmer John McAfee believes it will only take three years to hit that number.
Shehadeh trades strictly, but he has used bitcoin several times to consume.
“I’m betting on McGregor’s last fight; I lost $ 400. I was very confident, ”Shehadeh said.