(Bloomberg) Bitcoin, that nebulous digital currency that trades in cyberspace and is “mined” by code-cracking computers, emerged as a better bet this year than every major foreign-exchange trade, stock index and commodity contract.
The electronic coin that trades and is regulated like oil and gold surged 79 percent since the start of 2016 to $778, its highest level since early 2014, data compiled by Bloomberg shows. That’s four times the gains posted by Russia’s ruble and Brazil’s real, the world’s top two hard currencies.
After its 2008 creation, enthusiasts hailed bitcoin as the next big thing in foreign exchange markets and an obvious monetary evolution in an increasingly digital world. But by 2014, its value tumbled 58 percent as governments cracked down on its use and a major exchange lost account-holders’ funds.
Advertisement - story continues below