Bitcoin is Like Dot-Com Bubble, Morgan Stanley Says

Bitcoin’s recent moves almost mirror to the Nasdaq Composite Index in the lead-up to and aftermath of 2000, but at x15 speed
20 March 2018   670

A group of analysts of the American banking holding Morgan Stanley has published a new report, which draws parallels between the recent take-off of bitcoins and the boom of dotcoms that occurred in the late 90s, reports Bloomberg.

According to analysts, at present the movement of the bitcoin rate almost completely repeats the Nasdaq Composite Index on the eve and after 2000, but 15 times faster. Then the index rose by 278% in 519 days and peaked in March 2000. In turn, bitcoin jumped by 248% in just 35 days - down to a record $ 19 511 last December, the report said.

Nasdaq / BTC Compare
Nasdaq / BTC Compare

In addition, it is noted that since the end of last year bitcoin has experienced three waves of falls, when its price fell every time by 45-50%, before the rebound occurred. At the same time, the Nasdaq experienced five sharp falls after 2000, which were 44% on average.

Rising trade volumes are thus not an indication of more investor activity but instead a rush to get out.
 

Sheena Shah

Strategist, Morgan Stanley

Bear market is not something new for the Bitcoin. So, after the records of the end of last year in February, the price of bitcoin fell by 70%, and in this "there is nothing unusual," added Morgan Stanley. At the same time, since December 2017, trading volumes of bitcoin have grown by almost 300%.

BitPay to Receive New York's BitLicense

Having received BitLicense, BitPay can now conduct business with New York-based companies and consumers
17 July 2018   102

The well-known cryptocurrency processing service BitPay obtained a license to work with virtual currencies in the state of New York. Known also as BitLicense, this license is issued by the New York Department of Financial Services (NYDFS) and grants its holders the ability to conduct activities related to cryptocurrencies in the state.

NYDFS has carefully studied the company's application, including its policy on measures to combat money laundering, customer identification, fraud prevention, cybersecurity. The financial situation of the company was also thoroughly analyzed.

New York state has one of the strictest policies around businesses involved in cryptocurrency and working through the approval processes to obtain a License was important to BitPay. We believe this hard work will pay off as New York presents significant business opportunities for BitPay.
 

Stephen Pair

CEO, BitPay

Having received BitLicense, BitPay can now conduct business with New York-based companies and consumers: the first will be able to use the company's processing services to accept payments in Bitcoin and Bitcoin Cash, the latter will pay for various goods and services using these two BitPay supported cryptos.

Note that BitPay was only the eighth company that received BitLicense. Other license holders are Square, Xapo, Genesis Global Trading, bitFlyer USA, Coinbase, Ripple and Circle. In addition, special permissions for operations with crypto-currencies are exchanged by Gemini and itBit.