[2017-03-16] BS: Bitcoins gain traction, time fr central banks to make their own

As bitcoins gain traction, is it time for central banks to make their own?

http://www.business-standard.com/article/international/as-bitcoins-gain-traction-is-it-time-for-central-banks-to-make-their-own-117031600265_1.html

The history of gold trading can be traced back hundreds of years while bitcoin, a digital currency that uses encryption and works independently of central banks, has been around for less than ten.

But the cryptocurrency is now starting to challenge gold as the investment of choice. Its meteoric rise is such that on March 3 2017, bitcoin overtook gold for the first time, trading at US$1,290 compared to US$1,228 for an ounce of gold.

All the gold that has ever been mined would easily fit under the legs of the Eiffel Tower – in fact, multiple times. Gold’s scarcity is one reason for its value. Another reason is that it’s a very nonreactive metal so it doesn’t tarnish, which is important if you’ve invested millions and don’t want it to slowly deteriorate.