Cryptocurrency, a form of digital money, is believed by many to be the currency of the future. Bitcoin prices have recently tumbled but this is not the first time — nor will it be the last — that we see this. So why is there still such an interest in cryptocurrencies despite their volatility? Wilko Martínez-Cachero has more.
Bitcoin and other cryptocurrencies plummeted to start the week. Nitin Kalé, a professor at USC Viterbi, explains.
NITIN KALÉ: This has happened time and again that, within a short period of time, some currencies or many, many currencies will depreciate or fall at the same time in reaction to global news. […] But often, this reaction is due to national news, economy, and most importantly about regulation.
But despite how crypto fluctuates, the interest in it continues to grow. A recent CNBC survey found that one in ten people currently invest in crypto. El Salvador even became the first country to adopt bitcoin as legal tender a few weeks ago.
So why are people so into crypto? Here’s Lucca Sturari, a finance student at Hult International Business School in Boston.
LUCCA STURARI: Many of my friends and fellow finance students are into crypto and they invest heavily, and they’re firm believers, and I feel like that’s because crypto is kind of an outsider, misfit, rebellious form of currency that opposes the government because