- Telecommunications Giant Vodafone Leaves the Libra Association
- Group of Central Banks Assesses Developing Central Bank Digital Currencies
- South Korea Might Impose 20 Percent Tax on Cryptocurrency Profits
- Report: Terrorists Increasingly Use Crypto to Raise Funds Anonymously
- Canadian Securities Administrators Subject Crypto Exchanges to Securities Laws
Since January, it seems that the Winklevoss twins have achieved in excess much more than what they ever had before. Their significant increase in wealth is being attributed to their Bitcoin holdings, which recently made another bullish rally.
With several reports in circulation in the cryptocurrency news media, Tyler and Cameron Winklevoss’ net worth comes largely from cryptocurrency, particularly from Bitcoin, and when put together, it is estimated to be around $1.45 billion. When the year 2019 began, the Winklevoss brothers’ wealth when combined amounted to roughly $654 million.
For those who are unaware of who the Winklevoss twins are, you can just think of Mark Zuckerberg taking ideas from his college fellows to build Facebook. Well, these fellows were Tyler and Cameron. They jointly sued Zuckerberg, and their payout was used to invest in Bitcoin (fun fact: the Winklevoss twins and Zuckerberg might collaborate again soon). They even have their very own cryptocurrency exchange known as Gemini and a cryptocurrency, the stablcoin Gemini U.S. Dollar (GUSD).
The Rise of the Bitcoin Price in 2018
Bitcoin transcended to about $13,000 for the first time since January 2018 when Facebook announced its move to launch its very own cryptocurrency. The Facebook crypto coin, which is known as Libra, is already involved in business partnerships with companies like Uber technologies Inc and Visa Inc.
Since December 2018, the increase in the Bitcoin price has been said to have tripled more than its previous price. This has propelled lots of investors to brush off the seventy-four percent decrease of last year’s BTC price which was followed by the 1,400% increase in 2017.
Through an email, Qiao Wang, director of product at crypto data startup Messari made a note of the fact that people have started having confidence in Bitcoin once again. Qiao went further to state that the difference between the present day and the last time Bitcoin reached $13,000 is that the crypto market is currently far more rational than it was previously.
Wang said that the price surge may also be a backlash to broader macroeconomic activities, such as the underestimation of the worth of the yuan, which could be a motivation to the Chinese buyers to acquire the currency in a bid to protect their wealth. He also said that the Federal Reserve’s plan to pursue expansionary monetary policies may also be a factor.
When Bitcoin was being traded below $4,000 in March, crypto experts made mention of improved oversight and regulation assisting in its price recovery.
Director of Research at crypto news outlet The Block, Larry Cemark, made statements insinuating that there is no clear comprehension for the present rally which is tamer and more rational unlike the 2017 bull run that was impelled predominantly by hype and retail investment. He went further to say that there is no proof that it is coming from a particular country and also referring to the theory that Iran is driving the surge. He said that if he were to make an educated guess, the rally was started by larger investors and sustained by some retail investors.
Bitcoin is the gold of digital currency and also act as a hedge strictly against economic crises that are inflationary. If crypto investors should actually believe in this thesis, then they can gradually accumulate Bitcoin and keep on holding it for a long period of time.