Plenty of celebrities, some tech icons and hedge fund managers think Bitcoin is the future. However, one of the biggest technocrats ever, Bill Gates has never been swayed by the crypto currency. As Bitcoin fell to below $40,000 on Thursday after a rise to $43,000 on Wednesday, it confirmed the volatility of the block chain product. It has also seen its fortunes rise and fall whenever Elon Musk decides to tweet about it.
In his February 2021 interview with Bloomberg, Bill Gates said that Elon had tons of money and was very sophisticated so he didn’t have to worry about the random rise and the fall of Bitcoin. However, he added that people who are pulled into such “manias” could be those “who may not have as much money to spare” and that’s why he was “not bullish on Bitcoin.”
Gates also spoke of the lack of regulation and highlighted two risks associated with crypto currencies. He said that it was decentralized and he also pointed out that it could be volatile. Other issues which were problematic included its ability “to promote anonymous transactions” and the fact that these transactions were irreversible.
On Thursday, Bitcoin and other crypto currencies saw a slide highlighting the volatility of digital currencies. It fell by 7 percent and CoinDesk data said that it was worth $39,077.79 early morning on the same day.
On Wednesday, the coin rose to $42,577 after the start of trade at roughly $38,744. The temporary hike in value was a result of an executive order by President Biden on crypto currencies. The order will focus on six key areas
consumer protection
financial stability
financial inclusion
responsible innovation
Its use to promote illicit activities
U.S. competitiveness in the crypto industry.
Some major players saw the move by the Biden administration as a moment that could change history while others called it defensive.
The market initially reacted positively and there was a surge in price. However, the resistance was greater and the value of Bitcoin and other crypto currencies fell on Thursday, once again reiterating what Bill Gates and others have mentioned about the volatility of digital currencies.
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