The year of the Bitcoin begins with a whimper
At the end of last year, many industry experts were predicting that 2015 would be the year that bitcoins were finally legitimised.
At the end of last year, many industry experts were predicting that 2015 would be the year that bitcoins were finally legitimised and would finally be a mainstream alternative currency. Within seven days of the New Year, Europe’s biggest bitcoin exchange was hacked.
Bitstamp lost approximately $5m in bitcoins at the beginning of the year due to a cyber attack. This led to them closing business down for a week to recover. This follows several significant attacks over the previous year.
The firm faced a similar attack in February 2014 which led to withdrawals being ceased despite the company believing that no bitcoins were stolen on that occasion. The biggest hindrance, however, was Japan-based Mt. Gov, at one point handling 70% of all Bitcoin transactions, filed for bankruptcy and was eventually liquidated in April 2014.
This comes alongside with bitcoin value falling to $170, a stark contrast to its peak value of $1150 in 2013.
Well regarded Bitcoin outfits are losing their legitimacy in the midst of all these problems with many predicting the ‘death of Bitcoin’. This is not a new development. In fact, according to bitcoinobituaries.com, Bitcoin has already been proclaimed dead on thirty occasions.
Despite recent pitfalls, 2015 could well end up proving predictions right and Bitcoin could achieve legitimacy. If not, you can be sure people will predict 2016 to be the year. If not, then 2017, and so forth.