Bitcoin stir over – there – s a fresh kid on the blockchain – ABC News (Australian Broadcasting Corporation)

Bitcoin stir over – there's a fresh kid on the blockchain

Updated June 01, two thousand seventeen Ten:Eighteen:05

The digital currency bitcoin has cracked fresh records – surging by more than two hundred forty five per cent since the commence of the year.

Key points:

  • Total cryptocurrency market is worth $US75b (or $101b)
  • The top ten currencies (including bitcoin and ethereum) have a ninety four per cent market share
  • Government will make switches to GST so bitcoin transactions are not dual taxed

In just five months, the price of one bitcoin rose from $1,337 (US$997.Sixty nine) to its all-time-high of $Three,704 (US$Two,766.56) on May 25.

People buy bitcoins for all sorts of reasons. They range from those seeking to invest in safe haven assets in the face of political instability, speculators wanting to rail the wave of what some regard to be an asset bubble, to purchasers who want to purchase illegal goods anonymously on the dark web.

Since mid-2010, when the highly-volatile currency was worth just nine cents, it has surged by more than four million per cent.

When you add the value of every bitcoin, its current market capitalisation is $49.6 billion – almost half of the value of all cryptocurrencies.

Bitcoin explained

Bitcoin, however, is not the only digital currency which has loved a strong market rally.

“We’ve had the total market capitalisation of all cryptocurrencies rising three-fold this year – from around US$25 billion to now US$75 billion,” according to Steve Sammartino, entrepreneur and technology author.

In Australian dollar terms, the total market capitalisation is more than $101 billion.

“The big two, bitcoin and ethereum, are heading the charge,” Mr Sammartino told ABC’s The World Today.

Cryptocurrency bubble risks

Mr Sammartino believes the cryptocurrency market is in a bubble.

“The question is which of these cryptocurrencies is going to fail, and which will ones are going to be the winners?”

The ten largest cryptocurrencies are worth more than $95 billion – approximately ninety four per cent of the total market share.

However, the remaining six per cent of the market is flooded disproportionately by more than eight hundred of these currencies.

“People are investing, I think, exuberantly. In a way, they are hoping for irrational economic profits they are not going to get,” Mr Sammartino said.

“There have been more than one hundred ICOs (initial coin offerings) this year.”

Unlike the IPO (initial public suggesting) of a company in the share market, ICOs are not backed by any real, intrinsic value.

“Anyone could begin a coin by putting a platform out there and releasing coins on the market using open source software,” Mr Sammartino said.

“The problem is these ICOs fall outside the governance of the SEC [US Securities and Exchange Commission] and ASIC [Australian Securities and Investments Commission], but they behave like IPOs in the stock market.

“Creative technologists can raise large amounts of capital with the fresh cryptocurrency, [then] exit their own position without any regulatory approvals or oversights.”

The rise of number two – ethereum

Investors who think bitcoins are too expensive, or are looking for higher yields, are turning to some of the alternative cryptocurrencies.

Bitcoin’s two hundred forty five per cent surge this year is just a blip, when compared to the bull run of ethereum, which was launched in 2014.

Since January Trio, the price of an ethereum unit has surged by more than Two,000 per cent – from $12.Sixty nine (US$9.48) to its record-high of $257.59 (US$192.32) on May 24.

One reason for the massive uptake in ethereum is the endorsement it has received from multinational powerhouses including Accenture, Microsoft, Intel, JPMorgan Pursue and UBS.

In late-February, those corporate giants (plus two dozen other companies) teamed up to form the Enterprise Ethereum Alliance (EEA).

Credit Suisse, ING, Bank of Fresh York and Thomson Reuters were also among the founding members of EEA.

The alliance was formed to “build, promote and broadly support ethereum-based technology best practices, standards and a reference architecture,” according to a statement released by the EEA.

Since its formation, more than eighty other multinationals have joined the EEA including Toyota, State Street, Merck and Rabobank.

The EEA is essentially attempting to create a fresh kind of computing system based on ethereum’s blockchain.

Blockchain is the technology that bitcoin, ethereum and other cryptocurrencies use to facilitate anonymous transactions.

It is basically the register of all transactions in a cryptocurrency, like a bank ledger – which is updated whenever a transaction occurs.

Whereas bitcoin’s blockchain is used as consumer payment technology, ethereum’s blockchain can also be used for its ‘wise contract’ applications – which is what attracted the interest of those multinationals.

A wise contract is a computer program that automatically executes the terms of a contract when certain conditions are met.

Through automation, this technology has the potential to reduce the amount of human labour needed to finish a deal.

The future of cryptocurrencies

Albeit Mr Sammartino considers bitcoin, ethereum and the broader cryptocurrency market is in a bubble, he believes they are the future of payment systems.

“People are commencing to realise, within the financial and governmental community, that cryptocurrencies are not going to go away, and they are going to be a staple of our modern economy.”

The Australian Government shares some of that sentiment, given its fresh stance on financial technology and innovation.

“The Government will encourage the exploration of blockchain technology, including through a explore and pilot testing by the CSIRO’s Data61,” it noted in the latest federal budget.

“We will also introduce switches to the GST to ensure that consumers are no longer dual taxed when using digital currencies such as bitcoin.”

This is a reversal of the Australian Taxation Office’s stance.

In 2014, the ATO released guidance stating that it would not treat cryptocurrencies as money – and that it would therefore be taxed in the same way as a non-cash barter transaction.

At the time of publication, bitcoins had risen Five.83 per cent on Tuesday to $Trio,074.56 per coin, and ethereum had lifted 25.1 per cent to $284.26.

Bitcoin budge over – there – s a fresh kid on the blockchain – ABC News (Australian Broadcasting Corporation)

Bitcoin budge over – there's a fresh kid on the blockchain

Updated June 01, two thousand seventeen Ten:Legitimate:05

The digital currency bitcoin has violated fresh records – surging by more than two hundred forty five per cent since the embark of the year.

Key points:

  • Total cryptocurrency market is worth $US75b (or $101b)
  • The top ten currencies (including bitcoin and ethereum) have a ninety four per cent market share
  • Government will make switches to GST so bitcoin transactions are not dual taxed

In just five months, the price of one bitcoin rose from $1,337 (US$997.Sixty-nine) to its all-time-high of $Three,704 (US$Two,766.56) on May 25.

People buy bitcoins for all sorts of reasons. They range from those seeking to invest in safe haven assets in the face of political instability, speculators wanting to rail the wave of what some regard to be an asset bubble, to purchasers who want to purchase illegal goods anonymously on the dark web.

Since mid-2010, when the highly-volatile currency was worth just nine cents, it has surged by more than four million per cent.

When you add the value of every bitcoin, its current market capitalisation is $49.6 billion – almost half of the value of all cryptocurrencies.

Bitcoin explained

Bitcoin, however, is not the only digital currency which has loved a strong market rally.

“We’ve had the total market capitalisation of all cryptocurrencies rising three-fold this year – from around US$25 billion to now US$75 billion,” according to Steve Sammartino, entrepreneur and technology author.

In Australian dollar terms, the total market capitalisation is more than $101 billion.

“The big two, bitcoin and ethereum, are heading the charge,” Mr Sammartino told ABC’s The World Today.

Cryptocurrency bubble risks

Mr Sammartino believes the cryptocurrency market is in a bubble.

“The question is which of these cryptocurrencies is going to fail, and which will ones are going to be the winners?”

The ten largest cryptocurrencies are worth more than $95 billion – approximately ninety four per cent of the total market share.

However, the remaining six per cent of the market is flooded disproportionately by more than eight hundred of these currencies.

“People are investing, I think, exuberantly. In a way, they are hoping for irrational economic profits they are not going to get,” Mr Sammartino said.

“There have been more than one hundred ICOs (initial coin offerings) this year.”

Unlike the IPO (initial public suggesting) of a company in the share market, ICOs are not backed by any real, intrinsic value.

“Anyone could begin a coin by putting a platform out there and releasing coins on the market using open source software,” Mr Sammartino said.

“The problem is these ICOs fall outside the governance of the SEC [US Securities and Exchange Commission] and ASIC [Australian Securities and Investments Commission], but they behave like IPOs in the stock market.

“Creative technologists can raise large amounts of capital with the fresh cryptocurrency, [then] exit their own position without any regulatory approvals or oversights.”

The rise of number two – ethereum

Investors who think bitcoins are too expensive, or are looking for higher yields, are turning to some of the alternative cryptocurrencies.

Bitcoin’s two hundred forty five per cent surge this year is just a blip, when compared to the bull run of ethereum, which was launched in 2014.

Since January Three, the price of an ethereum unit has surged by more than Two,000 per cent – from $12.Sixty-nine (US$9.48) to its record-high of $257.59 (US$192.32) on May 24.

One reason for the massive uptake in ethereum is the endorsement it has received from multinational powerhouses including Accenture, Microsoft, Intel, JPMorgan Pursue and UBS.

In late-February, those corporate giants (plus two dozen other companies) teamed up to form the Enterprise Ethereum Alliance (EEA).

Credit Suisse, ING, Bank of Fresh York and Thomson Reuters were also among the founding members of EEA.

The alliance was formed to “build, promote and broadly support ethereum-based technology best practices, standards and a reference architecture,” according to a statement released by the EEA.

Since its formation, more than eighty other multinationals have joined the EEA including Toyota, State Street, Merck and Rabobank.

The EEA is essentially attempting to create a fresh kind of computing system based on ethereum’s blockchain.

Blockchain is the technology that bitcoin, ethereum and other cryptocurrencies use to facilitate anonymous transactions.

It is basically the register of all transactions in a cryptocurrency, like a bank ledger – which is updated whenever a transaction occurs.

Whereas bitcoin’s blockchain is used as consumer payment technology, ethereum’s blockchain can also be used for its ‘brainy contract’ applications – which is what attracted the interest of those multinationals.

A wise contract is a computer program that automatically executes the terms of a contract when certain conditions are met.

Through automation, this technology has the potential to reduce the amount of human labour needed to finish a deal.

The future of cryptocurrencies

Albeit Mr Sammartino considers bitcoin, ethereum and the broader cryptocurrency market is in a bubble, he believes they are the future of payment systems.

“People are embarking to realise, within the financial and governmental community, that cryptocurrencies are not going to go away, and they are going to be a staple of our modern economy.”

The Australian Government shares some of that sentiment, given its fresh stance on financial technology and innovation.

“The Government will encourage the exploration of blockchain technology, including through a explore and pilot testing by the CSIRO’s Data61,” it noted in the latest federal budget.

“We will also introduce switches to the GST to ensure that consumers are no longer dual taxed when using digital currencies such as bitcoin.”

This is a reversal of the Australian Taxation Office’s stance.

In 2014, the ATO released guidance stating that it would not treat cryptocurrencies as money – and that it would therefore be taxed in the same way as a non-cash barter transaction.

At the time of publication, bitcoins had risen Five.83 per cent on Tuesday to $Three,074.56 per coin, and ethereum had lifted 25.1 per cent to $284.26.

Bitcoin stir over – there – s a fresh kid on the blockchain – ABC News (Australian Broadcasting Corporation)

Bitcoin stir over – there's a fresh kid on the blockchain

Updated June 01, two thousand seventeen Ten:Eighteen:05

The digital currency bitcoin has violated fresh records – surging by more than two hundred forty five per cent since the commence of the year.

Key points:

  • Total cryptocurrency market is worth $US75b (or $101b)
  • The top ten currencies (including bitcoin and ethereum) have a ninety four per cent market share
  • Government will make switches to GST so bitcoin transactions are not dual taxed

In just five months, the price of one bitcoin rose from $1,337 (US$997.Sixty-nine) to its all-time-high of $Trio,704 (US$Two,766.56) on May 25.

People buy bitcoins for all sorts of reasons. They range from those seeking to invest in safe haven assets in the face of political instability, speculators wanting to rail the wave of what some regard to be an asset bubble, to purchasers who want to purchase illegal goods anonymously on the dark web.

Since mid-2010, when the highly-volatile currency was worth just nine cents, it has surged by more than four million per cent.

When you add the value of every bitcoin, its current market capitalisation is $49.6 billion – almost half of the value of all cryptocurrencies.

Bitcoin explained

Bitcoin, however, is not the only digital currency which has liked a strong market rally.

“We’ve had the total market capitalisation of all cryptocurrencies rising three-fold this year – from around US$25 billion to now US$75 billion,” according to Steve Sammartino, entrepreneur and technology author.

In Australian dollar terms, the total market capitalisation is more than $101 billion.

“The big two, bitcoin and ethereum, are heading the charge,” Mr Sammartino told ABC’s The World Today.

Cryptocurrency bubble risks

Mr Sammartino believes the cryptocurrency market is in a bubble.

“The question is which of these cryptocurrencies is going to fail, and which will ones are going to be the winners?”

The ten largest cryptocurrencies are worth more than $95 billion – approximately ninety four per cent of the total market share.

However, the remaining six per cent of the market is flooded disproportionately by more than eight hundred of these currencies.

“People are investing, I think, exuberantly. In a way, they are hoping for irrational economic profits they are not going to get,” Mr Sammartino said.

“There have been more than one hundred ICOs (initial coin offerings) this year.”

Unlike the IPO (initial public suggesting) of a company in the share market, ICOs are not backed by any real, intrinsic value.

“Anyone could embark a coin by putting a platform out there and releasing coins on the market using open source software,” Mr Sammartino said.

“The problem is these ICOs fall outside the governance of the SEC [US Securities and Exchange Commission] and ASIC [Australian Securities and Investments Commission], but they behave like IPOs in the stock market.

“Creative technologists can raise large amounts of capital with the fresh cryptocurrency, [then] exit their own position without any regulatory approvals or oversights.”

The rise of number two – ethereum

Investors who think bitcoins are too expensive, or are looking for higher yields, are turning to some of the alternative cryptocurrencies.

Bitcoin’s two hundred forty five per cent surge this year is just a blip, when compared to the bull run of ethereum, which was launched in 2014.

Since January Trio, the price of an ethereum unit has surged by more than Two,000 per cent – from $12.Sixty nine (US$9.48) to its record-high of $257.59 (US$192.32) on May 24.

One reason for the massive uptake in ethereum is the endorsement it has received from multinational powerhouses including Accenture, Microsoft, Intel, JPMorgan Pursue and UBS.

In late-February, those corporate giants (plus two dozen other companies) teamed up to form the Enterprise Ethereum Alliance (EEA).

Credit Suisse, ING, Bank of Fresh York and Thomson Reuters were also among the founding members of EEA.

The alliance was formed to “build, promote and broadly support ethereum-based technology best practices, standards and a reference architecture,” according to a statement released by the EEA.

Since its formation, more than eighty other multinationals have joined the EEA including Toyota, State Street, Merck and Rabobank.

The EEA is essentially attempting to create a fresh kind of computing system based on ethereum’s blockchain.

Blockchain is the technology that bitcoin, ethereum and other cryptocurrencies use to facilitate anonymous transactions.

It is basically the register of all transactions in a cryptocurrency, like a bank ledger – which is updated whenever a transaction occurs.

Whereas bitcoin’s blockchain is used as consumer payment technology, ethereum’s blockchain can also be used for its ‘brainy contract’ applications – which is what attracted the interest of those multinationals.

A brainy contract is a computer program that automatically executes the terms of a contract when certain conditions are met.

Through automation, this technology has the potential to reduce the amount of human labour needed to accomplish a deal.

The future of cryptocurrencies

Albeit Mr Sammartino considers bitcoin, ethereum and the broader cryptocurrency market is in a bubble, he believes they are the future of payment systems.

“People are beginning to realise, within the financial and governmental community, that cryptocurrencies are not going to go away, and they are going to be a staple of our modern economy.”

The Australian Government shares some of that sentiment, given its fresh stance on financial technology and innovation.

“The Government will encourage the exploration of blockchain technology, including through a probe and pilot testing by the CSIRO’s Data61,” it noted in the latest federal budget.

“We will also introduce switches to the GST to ensure that consumers are no longer dual taxed when using digital currencies such as bitcoin.”

This is a reversal of the Australian Taxation Office’s stance.

In 2014, the ATO released guidance stating that it would not treat cryptocurrencies as money – and that it would therefore be taxed in the same way as a non-cash barter transaction.

At the time of publication, bitcoins had risen Five.83 per cent on Tuesday to $Three,074.56 per coin, and ethereum had lifted 25.1 per cent to $284.26.

Bitcoin budge over – there – s a fresh kid on the blockchain – ABC News (Australian Broadcasting Corporation)

Bitcoin budge over – there's a fresh kid on the blockchain

The cryptocurrency market has rallied threefold and is now worth $101 billion – with bitcoin’s share being almost half.

Retuers: Andy Clark

The digital currency bitcoin has violated fresh records – surging by more than two hundred forty five per cent since the commence of the year.

Key points:

  • Total cryptocurrency market is worth $US75b (or $101b)
  • The top ten currencies (including bitcoin and ethereum) have a ninety four per cent market share
  • Government will make switches to GST so bitcoin transactions are not dual taxed

In just five months, the price of one bitcoin rose from $1,337 (US$997.Sixty nine) to its all-time-high of $Trio,704 (US$Two,766.56) on May 25.

People buy bitcoins for all sorts of reasons. They range from those seeking to invest in safe haven assets in the face of political instability, speculators wanting to rail the wave of what some regard to be an asset bubble, to purchasers who want to purchase illegal goods anonymously on the dark web.

Since mid-2010, when the highly-volatile currency was worth just nine cents, it has surged by more than four million per cent.

When you add the value of every bitcoin, its current market capitalisation is $49.6 billion – almost half of the value of all cryptocurrencies.

Bitcoin explained

Bitcoin, however, is not the only digital currency which has liked a strong market rally.

“We’ve had the total market capitalisation of all cryptocurrencies rising three-fold this year – from around US$25 billion to now US$75 billion,” according to Steve Sammartino, entrepreneur and technology author.

In Australian dollar terms, the total market capitalisation is more than $101 billion.

“The big two, bitcoin and ethereum, are heading the charge,” Mr Sammartino told ABC’s The World Today.

Cryptocurrency bubble risks

Mr Sammartino believes the cryptocurrency market is in a bubble.

“The question is which of these cryptocurrencies is going to fail, and which will ones are going to be the winners?”

The ten largest cryptocurrencies are worth more than $95 billion – approximately ninety four per cent of the total market share.

However, the remaining six per cent of the market is flooded disproportionately by more than eight hundred of these currencies.

Photo The top ten cryptocurrencies and their market capitalisations (at May 30, 2017).

“People are investing, I think, exuberantly. In a way, they are hoping for irrational economic profits they are not going to get,” Mr Sammartino said.

“There have been more than one hundred ICOs (initial coin offerings) this year.”

Unlike the IPO (initial public suggesting) of a company in the share market, ICOs are not backed by any real, intrinsic value.

“Anyone could begin a coin by putting a platform out there and releasing coins on the market using open source software,” Mr Sammartino said.

“The problem is these ICOs fall outside the governance of the SEC [US Securities and Exchange Commission] and ASIC [Australian Securities and Investments Commission], but they behave like IPOs in the stock market.

“Creative technologists can raise large amounts of capital with the fresh cryptocurrency, [then] exit their own position without any regulatory approvals or oversights.”

The rise of number two – ethereum

Investors who think bitcoins are too expensive, or are looking for higher yields, are turning to some of the alternative cryptocurrencies.

Bitcoin’s two hundred forty five per cent surge this year is just a blip, when compared to the bull run of ethereum, which was launched in 2014.

Since January Three, the price of an ethereum unit has surged by more than Two,000 per cent – from $12.Sixty-nine (US$9.48) to its record-high of $257.59 (US$192.32) on May 24.

One reason for the massive uptake in ethereum is the endorsement it has received from multinational powerhouses including Accenture, Microsoft, Intel, JPMorgan Pursue and UBS.

In late-February, those corporate giants (plus two dozen other companies) teamed up to form the Enterprise Ethereum Alliance (EEA).

Credit Suisse, ING, Bank of Fresh York and Thomson Reuters were also among the founding members of EEA.

The alliance was formed to “build, promote and broadly support ethereum-based technology best practices, standards and a reference architecture,” according to a statement released by the EEA.

Since its formation, more than eighty other multinationals have joined the EEA including Toyota, State Street, Merck and Rabobank.

Photo Companies that are part of the Enterprise Ethereum Alliance.

The EEA is essentially attempting to create a fresh kind of computing system based on ethereum’s blockchain.

Blockchain is the technology that bitcoin, ethereum and other cryptocurrencies use to facilitate anonymous transactions.

It is basically the register of all transactions in a cryptocurrency, like a bank ledger – which is updated whenever a transaction occurs.

Whereas bitcoin’s blockchain is used as consumer payment technology, ethereum’s blockchain can also be used for its ‘clever contract’ applications – which is what attracted the interest of those multinationals.

A wise contract is a computer program that automatically executes the terms of a contract when certain conditions are met.

Through automation, this technology has the potential to reduce the amount of human labour needed to accomplish a deal.

The future of cryptocurrencies

Albeit Mr Sammartino considers bitcoin, ethereum and the broader cryptocurrency market is in a bubble, he believes they are the future of payment systems.

“People are commencing to realise, within the financial and governmental community, that cryptocurrencies are not going to go away, and they are going to be a staple of our modern economy.”

The Australian Government shares some of that sentiment, given its fresh stance on financial technology and innovation.

“The Government will encourage the exploration of blockchain technology, including through a probe and pilot testing by the CSIRO’s Data61,” it noted in the latest federal budget.

“We will also introduce switches to the GST to ensure that consumers are no longer dual taxed when using digital currencies such as bitcoin.”

This is a reversal of the Australian Taxation Office’s stance.

In 2014, the ATO released guidance stating that it would not treat cryptocurrencies as money – and that it would therefore be taxed in the same way as a non-cash barter transaction.

At the time of publication, bitcoins had risen Five.83 per cent on Tuesday to $Three,074.56 per coin, and ethereum had lifted 25.1 per cent to $284.26.

Bitcoin budge over – there – s a fresh kid on the blockchain – ABC News (Australian Broadcasting Corporation)

Bitcoin stir over – there's a fresh kid on the blockchain

The cryptocurrency market has rallied threefold and is now worth $101 billion – with bitcoin’s share being almost half.

Retuers: Andy Clark

The digital currency bitcoin has cracked fresh records – surging by more than two hundred forty five per cent since the commence of the year.

Key points:

  • Total cryptocurrency market is worth $US75b (or $101b)
  • The top ten currencies (including bitcoin and ethereum) have a ninety four per cent market share
  • Government will make switches to GST so bitcoin transactions are not dual taxed

In just five months, the price of one bitcoin rose from $1,337 (US$997.Sixty nine) to its all-time-high of $Trio,704 (US$Two,766.56) on May 25.

People buy bitcoins for all sorts of reasons. They range from those seeking to invest in safe haven assets in the face of political instability, speculators wanting to rail the wave of what some regard to be an asset bubble, to purchasers who want to purchase illegal goods anonymously on the dark web.

Since mid-2010, when the highly-volatile currency was worth just nine cents, it has surged by more than four million per cent.

When you add the value of every bitcoin, its current market capitalisation is $49.6 billion – almost half of the value of all cryptocurrencies.

Bitcoin explained

Bitcoin, however, is not the only digital currency which has loved a strong market rally.

“We’ve had the total market capitalisation of all cryptocurrencies rising three-fold this year – from around US$25 billion to now US$75 billion,” according to Steve Sammartino, entrepreneur and technology author.

In Australian dollar terms, the total market capitalisation is more than $101 billion.

“The big two, bitcoin and ethereum, are heading the charge,” Mr Sammartino told ABC’s The World Today.

Cryptocurrency bubble risks

Mr Sammartino believes the cryptocurrency market is in a bubble.

“The question is which of these cryptocurrencies is going to fail, and which will ones are going to be the winners?”

The ten largest cryptocurrencies are worth more than $95 billion – approximately ninety four per cent of the total market share.

However, the remaining six per cent of the market is flooded disproportionately by more than eight hundred of these currencies.

Photo The top ten cryptocurrencies and their market capitalisations (at May 30, 2017).

“People are investing, I think, exuberantly. In a way, they are hoping for irrational economic profits they are not going to get,” Mr Sammartino said.

“There have been more than one hundred ICOs (initial coin offerings) this year.”

Unlike the IPO (initial public suggesting) of a company in the share market, ICOs are not backed by any real, intrinsic value.

“Anyone could embark a coin by putting a platform out there and releasing coins on the market using open source software,” Mr Sammartino said.

“The problem is these ICOs fall outside the governance of the SEC [US Securities and Exchange Commission] and ASIC [Australian Securities and Investments Commission], but they behave like IPOs in the stock market.

“Creative technologists can raise large amounts of capital with the fresh cryptocurrency, [then] exit their own position without any regulatory approvals or oversights.”

The rise of number two – ethereum

Investors who think bitcoins are too expensive, or are looking for higher yields, are turning to some of the alternative cryptocurrencies.

Bitcoin’s two hundred forty five per cent surge this year is just a blip, when compared to the bull run of ethereum, which was launched in 2014.

Since January Three, the price of an ethereum unit has surged by more than Two,000 per cent – from $12.Sixty nine (US$9.48) to its record-high of $257.59 (US$192.32) on May 24.

One reason for the massive uptake in ethereum is the endorsement it has received from multinational powerhouses including Accenture, Microsoft, Intel, JPMorgan Pursue and UBS.

In late-February, those corporate giants (plus two dozen other companies) teamed up to form the Enterprise Ethereum Alliance (EEA).

Credit Suisse, ING, Bank of Fresh York and Thomson Reuters were also among the founding members of EEA.

The alliance was formed to “build, promote and broadly support ethereum-based technology best practices, standards and a reference architecture,” according to a statement released by the EEA.

Since its formation, more than eighty other multinationals have joined the EEA including Toyota, State Street, Merck and Rabobank.

Photo Companies that are part of the Enterprise Ethereum Alliance.

The EEA is essentially attempting to create a fresh kind of computing system based on ethereum’s blockchain.

Blockchain is the technology that bitcoin, ethereum and other cryptocurrencies use to facilitate anonymous transactions.

It is basically the register of all transactions in a cryptocurrency, like a bank ledger – which is updated whenever a transaction occurs.

Whereas bitcoin’s blockchain is used as consumer payment technology, ethereum’s blockchain can also be used for its ‘clever contract’ applications – which is what attracted the interest of those multinationals.

A clever contract is a computer program that automatically executes the terms of a contract when certain conditions are met.

Through automation, this technology has the potential to reduce the amount of human labour needed to accomplish a deal.

The future of cryptocurrencies

Albeit Mr Sammartino considers bitcoin, ethereum and the broader cryptocurrency market is in a bubble, he believes they are the future of payment systems.

“People are beginning to realise, within the financial and governmental community, that cryptocurrencies are not going to go away, and they are going to be a staple of our modern economy.”

The Australian Government shares some of that sentiment, given its fresh stance on financial technology and innovation.

“The Government will encourage the exploration of blockchain technology, including through a probe and pilot testing by the CSIRO’s Data61,” it noted in the latest federal budget.

“We will also introduce switches to the GST to ensure that consumers are no longer dual taxed when using digital currencies such as bitcoin.”

This is a reversal of the Australian Taxation Office’s stance.

In 2014, the ATO released guidance stating that it would not treat cryptocurrencies as money – and that it would therefore be taxed in the same way as a non-cash barter transaction.

At the time of publication, bitcoins had risen Five.83 per cent on Tuesday to $Trio,074.56 per coin, and ethereum had lifted 25.1 per cent to $284.26.

Bitcoin stir over – there – s a fresh kid on the blockchain – ABC News (Australian Broadcasting Corporation)

Bitcoin budge over – there's a fresh kid on the blockchain

The cryptocurrency market has rallied threefold and is now worth $101 billion – with bitcoin’s share being almost half.

Retuers: Andy Clark

The digital currency bitcoin has cracked fresh records – surging by more than two hundred forty five per cent since the embark of the year.

Key points:

  • Total cryptocurrency market is worth $US75b (or $101b)
  • The top ten currencies (including bitcoin and ethereum) have a ninety four per cent market share
  • Government will make switches to GST so bitcoin transactions are not dual taxed

In just five months, the price of one bitcoin rose from $1,337 (US$997.Sixty-nine) to its all-time-high of $Three,704 (US$Two,766.56) on May 25.

People buy bitcoins for all sorts of reasons. They range from those seeking to invest in safe haven assets in the face of political instability, speculators wanting to rail the wave of what some regard to be an asset bubble, to purchasers who want to purchase illegal goods anonymously on the dark web.

Since mid-2010, when the highly-volatile currency was worth just nine cents, it has surged by more than four million per cent.

When you add the value of every bitcoin, its current market capitalisation is $49.6 billion – almost half of the value of all cryptocurrencies.

Bitcoin explained

Bitcoin, however, is not the only digital currency which has loved a strong market rally.

“We’ve had the total market capitalisation of all cryptocurrencies rising three-fold this year – from around US$25 billion to now US$75 billion,” according to Steve Sammartino, entrepreneur and technology author.

In Australian dollar terms, the total market capitalisation is more than $101 billion.

“The big two, bitcoin and ethereum, are heading the charge,” Mr Sammartino told ABC’s The World Today.

Cryptocurrency bubble risks

Mr Sammartino believes the cryptocurrency market is in a bubble.

“The question is which of these cryptocurrencies is going to fail, and which will ones are going to be the winners?”

The ten largest cryptocurrencies are worth more than $95 billion – approximately ninety four per cent of the total market share.

However, the remaining six per cent of the market is flooded disproportionately by more than eight hundred of these currencies.

Photo The top ten cryptocurrencies and their market capitalisations (at May 30, 2017).

“People are investing, I think, exuberantly. In a way, they are hoping for irrational economic profits they are not going to get,” Mr Sammartino said.

“There have been more than one hundred ICOs (initial coin offerings) this year.”

Unlike the IPO (initial public suggesting) of a company in the share market, ICOs are not backed by any real, intrinsic value.

“Anyone could begin a coin by putting a platform out there and releasing coins on the market using open source software,” Mr Sammartino said.

“The problem is these ICOs fall outside the governance of the SEC [US Securities and Exchange Commission] and ASIC [Australian Securities and Investments Commission], but they behave like IPOs in the stock market.

“Creative technologists can raise large amounts of capital with the fresh cryptocurrency, [then] exit their own position without any regulatory approvals or oversights.”

The rise of number two – ethereum

Investors who think bitcoins are too expensive, or are looking for higher yields, are turning to some of the alternative cryptocurrencies.

Bitcoin’s two hundred forty five per cent surge this year is just a blip, when compared to the bull run of ethereum, which was launched in 2014.

Since January Trio, the price of an ethereum unit has surged by more than Two,000 per cent – from $12.Sixty nine (US$9.48) to its record-high of $257.59 (US$192.32) on May 24.

One reason for the massive uptake in ethereum is the endorsement it has received from multinational powerhouses including Accenture, Microsoft, Intel, JPMorgan Pursue and UBS.

In late-February, those corporate giants (plus two dozen other companies) teamed up to form the Enterprise Ethereum Alliance (EEA).

Credit Suisse, ING, Bank of Fresh York and Thomson Reuters were also among the founding members of EEA.

The alliance was formed to “build, promote and broadly support ethereum-based technology best practices, standards and a reference architecture,” according to a statement released by the EEA.

Since its formation, more than eighty other multinationals have joined the EEA including Toyota, State Street, Merck and Rabobank.

Photo Companies that are part of the Enterprise Ethereum Alliance.

The EEA is essentially attempting to create a fresh kind of computing system based on ethereum’s blockchain.

Blockchain is the technology that bitcoin, ethereum and other cryptocurrencies use to facilitate anonymous transactions.

It is basically the register of all transactions in a cryptocurrency, like a bank ledger – which is updated whenever a transaction occurs.

Whereas bitcoin’s blockchain is used as consumer payment technology, ethereum’s blockchain can also be used for its ‘wise contract’ applications – which is what attracted the interest of those multinationals.

A clever contract is a computer program that automatically executes the terms of a contract when certain conditions are met.

Through automation, this technology has the potential to reduce the amount of human labour needed to finish a deal.

The future of cryptocurrencies

Albeit Mr Sammartino considers bitcoin, ethereum and the broader cryptocurrency market is in a bubble, he believes they are the future of payment systems.

“People are kicking off to realise, within the financial and governmental community, that cryptocurrencies are not going to go away, and they are going to be a staple of our modern economy.”

The Australian Government shares some of that sentiment, given its fresh stance on financial technology and innovation.

“The Government will encourage the exploration of blockchain technology, including through a explore and pilot testing by the CSIRO’s Data61,” it noted in the latest federal budget.

“We will also introduce switches to the GST to ensure that consumers are no longer dual taxed when using digital currencies such as bitcoin.”

This is a reversal of the Australian Taxation Office’s stance.

In 2014, the ATO released guidance stating that it would not treat cryptocurrencies as money – and that it would therefore be taxed in the same way as a non-cash barter transaction.

At the time of publication, bitcoins had risen Five.83 per cent on Tuesday to $Three,074.56 per coin, and ethereum had lifted 25.1 per cent to $284.26.

Bitcoin stir over – there – s a fresh kid on the blockchain – ABC News (Australian Broadcasting Corporation)

Bitcoin stir over – there's a fresh kid on the blockchain

The cryptocurrency market has rallied threefold and is now worth $101 billion – with bitcoin’s share being almost half.

Retuers: Andy Clark

The digital currency bitcoin has violated fresh records – surging by more than two hundred forty five per cent since the commence of the year.

Key points:

  • Total cryptocurrency market is worth $US75b (or $101b)
  • The top ten currencies (including bitcoin and ethereum) have a ninety four per cent market share
  • Government will make switches to GST so bitcoin transactions are not dual taxed

In just five months, the price of one bitcoin rose from $1,337 (US$997.Sixty nine) to its all-time-high of $Trio,704 (US$Two,766.56) on May 25.

People buy bitcoins for all sorts of reasons. They range from those seeking to invest in safe haven assets in the face of political instability, speculators wanting to rail the wave of what some regard to be an asset bubble, to purchasers who want to purchase illegal goods anonymously on the dark web.

Since mid-2010, when the highly-volatile currency was worth just nine cents, it has surged by more than four million per cent.

When you add the value of every bitcoin, its current market capitalisation is $49.6 billion – almost half of the value of all cryptocurrencies.

Bitcoin explained

Bitcoin, however, is not the only digital currency which has loved a strong market rally.

“We’ve had the total market capitalisation of all cryptocurrencies rising three-fold this year – from around US$25 billion to now US$75 billion,” according to Steve Sammartino, entrepreneur and technology author.

In Australian dollar terms, the total market capitalisation is more than $101 billion.

“The big two, bitcoin and ethereum, are heading the charge,” Mr Sammartino told ABC’s The World Today.

Cryptocurrency bubble risks

Mr Sammartino believes the cryptocurrency market is in a bubble.

“The question is which of these cryptocurrencies is going to fail, and which will ones are going to be the winners?”

The ten largest cryptocurrencies are worth more than $95 billion – approximately ninety four per cent of the total market share.

However, the remaining six per cent of the market is flooded disproportionately by more than eight hundred of these currencies.

Photo The top ten cryptocurrencies and their market capitalisations (at May 30, 2017).

“People are investing, I think, exuberantly. In a way, they are hoping for irrational economic profits they are not going to get,” Mr Sammartino said.

“There have been more than one hundred ICOs (initial coin offerings) this year.”

Unlike the IPO (initial public suggesting) of a company in the share market, ICOs are not backed by any real, intrinsic value.

“Anyone could embark a coin by putting a platform out there and releasing coins on the market using open source software,” Mr Sammartino said.

“The problem is these ICOs fall outside the governance of the SEC [US Securities and Exchange Commission] and ASIC [Australian Securities and Investments Commission], but they behave like IPOs in the stock market.

“Creative technologists can raise large amounts of capital with the fresh cryptocurrency, [then] exit their own position without any regulatory approvals or oversights.”

The rise of number two – ethereum

Investors who think bitcoins are too expensive, or are looking for higher yields, are turning to some of the alternative cryptocurrencies.

Bitcoin’s two hundred forty five per cent surge this year is just a blip, when compared to the bull run of ethereum, which was launched in 2014.

Since January Three, the price of an ethereum unit has surged by more than Two,000 per cent – from $12.Sixty-nine (US$9.48) to its record-high of $257.59 (US$192.32) on May 24.

One reason for the massive uptake in ethereum is the endorsement it has received from multinational powerhouses including Accenture, Microsoft, Intel, JPMorgan Pursue and UBS.

In late-February, those corporate giants (plus two dozen other companies) teamed up to form the Enterprise Ethereum Alliance (EEA).

Credit Suisse, ING, Bank of Fresh York and Thomson Reuters were also among the founding members of EEA.

The alliance was formed to “build, promote and broadly support ethereum-based technology best practices, standards and a reference architecture,” according to a statement released by the EEA.

Since its formation, more than eighty other multinationals have joined the EEA including Toyota, State Street, Merck and Rabobank.

Photo Companies that are part of the Enterprise Ethereum Alliance.

The EEA is essentially attempting to create a fresh kind of computing system based on ethereum’s blockchain.

Blockchain is the technology that bitcoin, ethereum and other cryptocurrencies use to facilitate anonymous transactions.

It is basically the register of all transactions in a cryptocurrency, like a bank ledger – which is updated whenever a transaction occurs.

Whereas bitcoin’s blockchain is used as consumer payment technology, ethereum’s blockchain can also be used for its ‘clever contract’ applications – which is what attracted the interest of those multinationals.

A brainy contract is a computer program that automatically executes the terms of a contract when certain conditions are met.

Through automation, this technology has the potential to reduce the amount of human labour needed to accomplish a deal.

The future of cryptocurrencies

Albeit Mr Sammartino considers bitcoin, ethereum and the broader cryptocurrency market is in a bubble, he believes they are the future of payment systems.

“People are embarking to realise, within the financial and governmental community, that cryptocurrencies are not going to go away, and they are going to be a staple of our modern economy.”

The Australian Government shares some of that sentiment, given its fresh stance on financial technology and innovation.

“The Government will encourage the exploration of blockchain technology, including through a probe and pilot testing by the CSIRO’s Data61,” it noted in the latest federal budget.

“We will also introduce switches to the GST to ensure that consumers are no longer dual taxed when using digital currencies such as bitcoin.”

This is a reversal of the Australian Taxation Office’s stance.

In 2014, the ATO released guidance stating that it would not treat cryptocurrencies as money – and that it would therefore be taxed in the same way as a non-cash barter transaction.

At the time of publication, bitcoins had risen Five.83 per cent on Tuesday to $Three,074.56 per coin, and ethereum had lifted 25.1 per cent to $284.26.

Bitcoin budge over – there – s a fresh kid on the blockchain – ABC News (Australian Broadcasting Corporation)

Bitcoin budge over – there's a fresh kid on the blockchain

Updated June 01, two thousand seventeen Ten:Eighteen:05

The digital currency bitcoin has cracked fresh records – surging by more than two hundred forty five per cent since the commence of the year.

Key points:

  • Total cryptocurrency market is worth $US75b (or $101b)
  • The top ten currencies (including bitcoin and ethereum) have a ninety four per cent market share
  • Government will make switches to GST so bitcoin transactions are not dual taxed

In just five months, the price of one bitcoin rose from $1,337 (US$997.Sixty-nine) to its all-time-high of $Trio,704 (US$Two,766.56) on May 25.

People buy bitcoins for all sorts of reasons. They range from those seeking to invest in safe haven assets in the face of political instability, speculators wanting to rail the wave of what some regard to be an asset bubble, to purchasers who want to purchase illegal goods anonymously on the dark web.

Since mid-2010, when the highly-volatile currency was worth just nine cents, it has surged by more than four million per cent.

When you add the value of every bitcoin, its current market capitalisation is $49.6 billion – almost half of the value of all cryptocurrencies.

Bitcoin explained

Bitcoin, however, is not the only digital currency which has liked a strong market rally.

“We’ve had the total market capitalisation of all cryptocurrencies rising three-fold this year – from around US$25 billion to now US$75 billion,” according to Steve Sammartino, entrepreneur and technology author.

In Australian dollar terms, the total market capitalisation is more than $101 billion.

“The big two, bitcoin and ethereum, are heading the charge,” Mr Sammartino told ABC’s The World Today.

Cryptocurrency bubble risks

Mr Sammartino believes the cryptocurrency market is in a bubble.

“The question is which of these cryptocurrencies is going to fail, and which will ones are going to be the winners?”

The ten largest cryptocurrencies are worth more than $95 billion – approximately ninety four per cent of the total market share.

However, the remaining six per cent of the market is flooded disproportionately by more than eight hundred of these currencies.

“People are investing, I think, exuberantly. In a way, they are hoping for irrational economic profits they are not going to get,” Mr Sammartino said.

“There have been more than one hundred ICOs (initial coin offerings) this year.”

Unlike the IPO (initial public suggesting) of a company in the share market, ICOs are not backed by any real, intrinsic value.

“Anyone could begin a coin by putting a platform out there and releasing coins on the market using open source software,” Mr Sammartino said.

“The problem is these ICOs fall outside the governance of the SEC [US Securities and Exchange Commission] and ASIC [Australian Securities and Investments Commission], but they behave like IPOs in the stock market.

“Creative technologists can raise large amounts of capital with the fresh cryptocurrency, [then] exit their own position without any regulatory approvals or oversights.”

The rise of number two – ethereum

Investors who think bitcoins are too expensive, or are looking for higher yields, are turning to some of the alternative cryptocurrencies.

Bitcoin’s two hundred forty five per cent surge this year is just a blip, when compared to the bull run of ethereum, which was launched in 2014.

Since January Three, the price of an ethereum unit has surged by more than Two,000 per cent – from $12.Sixty nine (US$9.48) to its record-high of $257.59 (US$192.32) on May 24.

One reason for the massive uptake in ethereum is the endorsement it has received from multinational powerhouses including Accenture, Microsoft, Intel, JPMorgan Pursue and UBS.

In late-February, those corporate giants (plus two dozen other companies) teamed up to form the Enterprise Ethereum Alliance (EEA).

Credit Suisse, ING, Bank of Fresh York and Thomson Reuters were also among the founding members of EEA.

The alliance was formed to “build, promote and broadly support ethereum-based technology best practices, standards and a reference architecture,” according to a statement released by the EEA.

Since its formation, more than eighty other multinationals have joined the EEA including Toyota, State Street, Merck and Rabobank.

The EEA is essentially attempting to create a fresh kind of computing system based on ethereum’s blockchain.

Blockchain is the technology that bitcoin, ethereum and other cryptocurrencies use to facilitate anonymous transactions.

It is basically the register of all transactions in a cryptocurrency, like a bank ledger – which is updated whenever a transaction occurs.

Whereas bitcoin’s blockchain is used as consumer payment technology, ethereum’s blockchain can also be used for its ‘wise contract’ applications – which is what attracted the interest of those multinationals.

A clever contract is a computer program that automatically executes the terms of a contract when certain conditions are met.

Through automation, this technology has the potential to reduce the amount of human labour needed to finish a deal.

The future of cryptocurrencies

Albeit Mr Sammartino considers bitcoin, ethereum and the broader cryptocurrency market is in a bubble, he believes they are the future of payment systems.

“People are beginning to realise, within the financial and governmental community, that cryptocurrencies are not going to go away, and they are going to be a staple of our modern economy.”

The Australian Government shares some of that sentiment, given its fresh stance on financial technology and innovation.

“The Government will encourage the exploration of blockchain technology, including through a investigate and pilot testing by the CSIRO’s Data61,” it noted in the latest federal budget.

“We will also introduce switches to the GST to ensure that consumers are no longer dual taxed when using digital currencies such as bitcoin.”

This is a reversal of the Australian Taxation Office’s stance.

In 2014, the ATO released guidance stating that it would not treat cryptocurrencies as money – and that it would therefore be taxed in the same way as a non-cash barter transaction.

At the time of publication, bitcoins had risen Five.83 per cent on Tuesday to $Three,074.56 per coin, and ethereum had lifted 25.1 per cent to $284.26.

Bitcoin stir over – there – s a fresh kid on the blockchain – ABC News (Australian Broadcasting Corporation)

Bitcoin budge over – there's a fresh kid on the blockchain

The cryptocurrency market has rallied threefold and is now worth $101 billion – with bitcoin’s share being almost half.

Retuers: Andy Clark

The digital currency bitcoin has violated fresh records – surging by more than two hundred forty five per cent since the commence of the year.

Key points:

  • Total cryptocurrency market is worth $US75b (or $101b)
  • The top ten currencies (including bitcoin and ethereum) have a ninety four per cent market share
  • Government will make switches to GST so bitcoin transactions are not dual taxed

In just five months, the price of one bitcoin rose from $1,337 (US$997.Sixty nine) to its all-time-high of $Trio,704 (US$Two,766.56) on May 25.

People buy bitcoins for all sorts of reasons. They range from those seeking to invest in safe haven assets in the face of political instability, speculators wanting to rail the wave of what some regard to be an asset bubble, to purchasers who want to purchase illegal goods anonymously on the dark web.

Since mid-2010, when the highly-volatile currency was worth just nine cents, it has surged by more than four million per cent.

When you add the value of every bitcoin, its current market capitalisation is $49.6 billion – almost half of the value of all cryptocurrencies.

Bitcoin explained

Bitcoin, however, is not the only digital currency which has liked a strong market rally.

“We’ve had the total market capitalisation of all cryptocurrencies rising three-fold this year – from around US$25 billion to now US$75 billion,” according to Steve Sammartino, entrepreneur and technology author.

In Australian dollar terms, the total market capitalisation is more than $101 billion.

“The big two, bitcoin and ethereum, are heading the charge,” Mr Sammartino told ABC’s The World Today.

Cryptocurrency bubble risks

Mr Sammartino believes the cryptocurrency market is in a bubble.

“The question is which of these cryptocurrencies is going to fail, and which will ones are going to be the winners?”

The ten largest cryptocurrencies are worth more than $95 billion – approximately ninety four per cent of the total market share.

However, the remaining six per cent of the market is flooded disproportionately by more than eight hundred of these currencies.

Photo The top ten cryptocurrencies and their market capitalisations (at May 30, 2017).

“People are investing, I think, exuberantly. In a way, they are hoping for irrational economic profits they are not going to get,” Mr Sammartino said.

“There have been more than one hundred ICOs (initial coin offerings) this year.”

Unlike the IPO (initial public suggesting) of a company in the share market, ICOs are not backed by any real, intrinsic value.

“Anyone could begin a coin by putting a platform out there and releasing coins on the market using open source software,” Mr Sammartino said.

“The problem is these ICOs fall outside the governance of the SEC [US Securities and Exchange Commission] and ASIC [Australian Securities and Investments Commission], but they behave like IPOs in the stock market.

“Creative technologists can raise large amounts of capital with the fresh cryptocurrency, [then] exit their own position without any regulatory approvals or oversights.”

The rise of number two – ethereum

Investors who think bitcoins are too expensive, or are looking for higher yields, are turning to some of the alternative cryptocurrencies.

Bitcoin’s two hundred forty five per cent surge this year is just a blip, when compared to the bull run of ethereum, which was launched in 2014.

Since January Trio, the price of an ethereum unit has surged by more than Two,000 per cent – from $12.Sixty nine (US$9.48) to its record-high of $257.59 (US$192.32) on May 24.

One reason for the massive uptake in ethereum is the endorsement it has received from multinational powerhouses including Accenture, Microsoft, Intel, JPMorgan Pursue and UBS.

In late-February, those corporate giants (plus two dozen other companies) teamed up to form the Enterprise Ethereum Alliance (EEA).

Credit Suisse, ING, Bank of Fresh York and Thomson Reuters were also among the founding members of EEA.

The alliance was formed to “build, promote and broadly support ethereum-based technology best practices, standards and a reference architecture,” according to a statement released by the EEA.

Since its formation, more than eighty other multinationals have joined the EEA including Toyota, State Street, Merck and Rabobank.

Photo Companies that are part of the Enterprise Ethereum Alliance.

The EEA is essentially attempting to create a fresh kind of computing system based on ethereum’s blockchain.

Blockchain is the technology that bitcoin, ethereum and other cryptocurrencies use to facilitate anonymous transactions.

It is basically the register of all transactions in a cryptocurrency, like a bank ledger – which is updated whenever a transaction occurs.

Whereas bitcoin’s blockchain is used as consumer payment technology, ethereum’s blockchain can also be used for its ‘clever contract’ applications – which is what attracted the interest of those multinationals.

A brainy contract is a computer program that automatically executes the terms of a contract when certain conditions are met.

Through automation, this technology has the potential to reduce the amount of human labour needed to accomplish a deal.

The future of cryptocurrencies

Albeit Mr Sammartino considers bitcoin, ethereum and the broader cryptocurrency market is in a bubble, he believes they are the future of payment systems.

“People are commencing to realise, within the financial and governmental community, that cryptocurrencies are not going to go away, and they are going to be a staple of our modern economy.”

The Australian Government shares some of that sentiment, given its fresh stance on financial technology and innovation.

“The Government will encourage the exploration of blockchain technology, including through a examine and pilot testing by the CSIRO’s Data61,” it noted in the latest federal budget.

“We will also introduce switches to the GST to ensure that consumers are no longer dual taxed when using digital currencies such as bitcoin.”

This is a reversal of the Australian Taxation Office’s stance.

In 2014, the ATO released guidance stating that it would not treat cryptocurrencies as money – and that it would therefore be taxed in the same way as a non-cash barter transaction.

At the time of publication, bitcoins had risen Five.83 per cent on Tuesday to $Trio,074.56 per coin, and ethereum had lifted 25.1 per cent to $284.26.

Bitcoin budge over – there – s a fresh kid on the blockchain – ABC News (Australian Broadcasting Corporation)

Bitcoin stir over – there's a fresh kid on the blockchain

The cryptocurrency market has rallied threefold and is now worth $101 billion – with bitcoin’s share being almost half.

Retuers: Andy Clark

The digital currency bitcoin has violated fresh records – surging by more than two hundred forty five per cent since the begin of the year.

Key points:

  • Total cryptocurrency market is worth $US75b (or $101b)
  • The top ten currencies (including bitcoin and ethereum) have a ninety four per cent market share
  • Government will make switches to GST so bitcoin transactions are not dual taxed

In just five months, the price of one bitcoin rose from $1,337 (US$997.Sixty nine) to its all-time-high of $Trio,704 (US$Two,766.56) on May 25.

People buy bitcoins for all sorts of reasons. They range from those seeking to invest in safe haven assets in the face of political instability, speculators wanting to rail the wave of what some regard to be an asset bubble, to purchasers who want to purchase illegal goods anonymously on the dark web.

Since mid-2010, when the highly-volatile currency was worth just nine cents, it has surged by more than four million per cent.

When you add the value of every bitcoin, its current market capitalisation is $49.6 billion – almost half of the value of all cryptocurrencies.

Bitcoin explained

Bitcoin, however, is not the only digital currency which has liked a strong market rally.

“We’ve had the total market capitalisation of all cryptocurrencies rising three-fold this year – from around US$25 billion to now US$75 billion,” according to Steve Sammartino, entrepreneur and technology author.

In Australian dollar terms, the total market capitalisation is more than $101 billion.

“The big two, bitcoin and ethereum, are heading the charge,” Mr Sammartino told ABC’s The World Today.

Cryptocurrency bubble risks

Mr Sammartino believes the cryptocurrency market is in a bubble.

“The question is which of these cryptocurrencies is going to fail, and which will ones are going to be the winners?”

The ten largest cryptocurrencies are worth more than $95 billion – approximately ninety four per cent of the total market share.

However, the remaining six per cent of the market is flooded disproportionately by more than eight hundred of these currencies.

Photo The top ten cryptocurrencies and their market capitalisations (at May 30, 2017).

“People are investing, I think, exuberantly. In a way, they are hoping for irrational economic profits they are not going to get,” Mr Sammartino said.

“There have been more than one hundred ICOs (initial coin offerings) this year.”

Unlike the IPO (initial public suggesting) of a company in the share market, ICOs are not backed by any real, intrinsic value.

“Anyone could embark a coin by putting a platform out there and releasing coins on the market using open source software,” Mr Sammartino said.

“The problem is these ICOs fall outside the governance of the SEC [US Securities and Exchange Commission] and ASIC [Australian Securities and Investments Commission], but they behave like IPOs in the stock market.

“Creative technologists can raise large amounts of capital with the fresh cryptocurrency, [then] exit their own position without any regulatory approvals or oversights.”

The rise of number two – ethereum

Investors who think bitcoins are too expensive, or are looking for higher yields, are turning to some of the alternative cryptocurrencies.

Bitcoin’s two hundred forty five per cent surge this year is just a blip, when compared to the bull run of ethereum, which was launched in 2014.

Since January Three, the price of an ethereum unit has surged by more than Two,000 per cent – from $12.Sixty nine (US$9.48) to its record-high of $257.59 (US$192.32) on May 24.

One reason for the massive uptake in ethereum is the endorsement it has received from multinational powerhouses including Accenture, Microsoft, Intel, JPMorgan Pursue and UBS.

In late-February, those corporate giants (plus two dozen other companies) teamed up to form the Enterprise Ethereum Alliance (EEA).

Credit Suisse, ING, Bank of Fresh York and Thomson Reuters were also among the founding members of EEA.

The alliance was formed to “build, promote and broadly support ethereum-based technology best practices, standards and a reference architecture,” according to a statement released by the EEA.

Since its formation, more than eighty other multinationals have joined the EEA including Toyota, State Street, Merck and Rabobank.

Photo Companies that are part of the Enterprise Ethereum Alliance.

The EEA is essentially attempting to create a fresh kind of computing system based on ethereum’s blockchain.

Blockchain is the technology that bitcoin, ethereum and other cryptocurrencies use to facilitate anonymous transactions.

It is basically the register of all transactions in a cryptocurrency, like a bank ledger – which is updated whenever a transaction occurs.

Whereas bitcoin’s blockchain is used as consumer payment technology, ethereum’s blockchain can also be used for its ‘clever contract’ applications – which is what attracted the interest of those multinationals.

A brainy contract is a computer program that automatically executes the terms of a contract when certain conditions are met.

Through automation, this technology has the potential to reduce the amount of human labour needed to accomplish a deal.

The future of cryptocurrencies

Albeit Mr Sammartino considers bitcoin, ethereum and the broader cryptocurrency market is in a bubble, he believes they are the future of payment systems.

“People are kicking off to realise, within the financial and governmental community, that cryptocurrencies are not going to go away, and they are going to be a staple of our modern economy.”

The Australian Government shares some of that sentiment, given its fresh stance on financial technology and innovation.

“The Government will encourage the exploration of blockchain technology, including through a investigate and pilot testing by the CSIRO’s Data61,” it noted in the latest federal budget.

“We will also introduce switches to the GST to ensure that consumers are no longer dual taxed when using digital currencies such as bitcoin.”

This is a reversal of the Australian Taxation Office’s stance.

In 2014, the ATO released guidance stating that it would not treat cryptocurrencies as money – and that it would therefore be taxed in the same way as a non-cash barter transaction.

At the time of publication, bitcoins had risen Five.83 per cent on Tuesday to $Three,074.56 per coin, and ethereum had lifted 25.1 per cent to $284.26.

Bitcoin stir over – there – s a fresh kid on the blockchain – ABC News (Australian Broadcasting Corporation)

Bitcoin budge over – there's a fresh kid on the blockchain

The cryptocurrency market has rallied threefold and is now worth $101 billion – with bitcoin’s share being almost half.

Retuers: Andy Clark

The digital currency bitcoin has cracked fresh records – surging by more than two hundred forty five per cent since the commence of the year.

Key points:

  • Total cryptocurrency market is worth $US75b (or $101b)
  • The top ten currencies (including bitcoin and ethereum) have a ninety four per cent market share
  • Government will make switches to GST so bitcoin transactions are not dual taxed

In just five months, the price of one bitcoin rose from $1,337 (US$997.Sixty nine) to its all-time-high of $Trio,704 (US$Two,766.56) on May 25.

People buy bitcoins for all sorts of reasons. They range from those seeking to invest in safe haven assets in the face of political instability, speculators wanting to rail the wave of what some regard to be an asset bubble, to purchasers who want to purchase illegal goods anonymously on the dark web.

Since mid-2010, when the highly-volatile currency was worth just nine cents, it has surged by more than four million per cent.

When you add the value of every bitcoin, its current market capitalisation is $49.6 billion – almost half of the value of all cryptocurrencies.

Bitcoin explained

Bitcoin, however, is not the only digital currency which has loved a strong market rally.

“We’ve had the total market capitalisation of all cryptocurrencies rising three-fold this year – from around US$25 billion to now US$75 billion,” according to Steve Sammartino, entrepreneur and technology author.

In Australian dollar terms, the total market capitalisation is more than $101 billion.

“The big two, bitcoin and ethereum, are heading the charge,” Mr Sammartino told ABC’s The World Today.

Cryptocurrency bubble risks

Mr Sammartino believes the cryptocurrency market is in a bubble.

“The question is which of these cryptocurrencies is going to fail, and which will ones are going to be the winners?”

The ten largest cryptocurrencies are worth more than $95 billion – approximately ninety four per cent of the total market share.

However, the remaining six per cent of the market is flooded disproportionately by more than eight hundred of these currencies.

Photo The top ten cryptocurrencies and their market capitalisations (at May 30, 2017).

“People are investing, I think, exuberantly. In a way, they are hoping for irrational economic profits they are not going to get,” Mr Sammartino said.

“There have been more than one hundred ICOs (initial coin offerings) this year.”

Unlike the IPO (initial public suggesting) of a company in the share market, ICOs are not backed by any real, intrinsic value.

“Anyone could commence a coin by putting a platform out there and releasing coins on the market using open source software,” Mr Sammartino said.

“The problem is these ICOs fall outside the governance of the SEC [US Securities and Exchange Commission] and ASIC [Australian Securities and Investments Commission], but they behave like IPOs in the stock market.

“Creative technologists can raise large amounts of capital with the fresh cryptocurrency, [then] exit their own position without any regulatory approvals or oversights.”

The rise of number two – ethereum

Investors who think bitcoins are too expensive, or are looking for higher yields, are turning to some of the alternative cryptocurrencies.

Bitcoin’s two hundred forty five per cent surge this year is just a blip, when compared to the bull run of ethereum, which was launched in 2014.

Since January Trio, the price of an ethereum unit has surged by more than Two,000 per cent – from $12.Sixty-nine (US$9.48) to its record-high of $257.59 (US$192.32) on May 24.

One reason for the massive uptake in ethereum is the endorsement it has received from multinational powerhouses including Accenture, Microsoft, Intel, JPMorgan Pursue and UBS.

In late-February, those corporate giants (plus two dozen other companies) teamed up to form the Enterprise Ethereum Alliance (EEA).

Credit Suisse, ING, Bank of Fresh York and Thomson Reuters were also among the founding members of EEA.

The alliance was formed to “build, promote and broadly support ethereum-based technology best practices, standards and a reference architecture,” according to a statement released by the EEA.

Since its formation, more than eighty other multinationals have joined the EEA including Toyota, State Street, Merck and Rabobank.

Photo Companies that are part of the Enterprise Ethereum Alliance.

The EEA is essentially attempting to create a fresh kind of computing system based on ethereum’s blockchain.

Blockchain is the technology that bitcoin, ethereum and other cryptocurrencies use to facilitate anonymous transactions.

It is basically the register of all transactions in a cryptocurrency, like a bank ledger – which is updated whenever a transaction occurs.

Whereas bitcoin’s blockchain is used as consumer payment technology, ethereum’s blockchain can also be used for its ‘clever contract’ applications – which is what attracted the interest of those multinationals.

A brainy contract is a computer program that automatically executes the terms of a contract when certain conditions are met.

Through automation, this technology has the potential to reduce the amount of human labour needed to accomplish a deal.

The future of cryptocurrencies

Albeit Mr Sammartino considers bitcoin, ethereum and the broader cryptocurrency market is in a bubble, he believes they are the future of payment systems.

“People are beginning to realise, within the financial and governmental community, that cryptocurrencies are not going to go away, and they are going to be a staple of our modern economy.”

The Australian Government shares some of that sentiment, given its fresh stance on financial technology and innovation.

“The Government will encourage the exploration of blockchain technology, including through a investigate and pilot testing by the CSIRO’s Data61,” it noted in the latest federal budget.

“We will also introduce switches to the GST to ensure that consumers are no longer dual taxed when using digital currencies such as bitcoin.”

This is a reversal of the Australian Taxation Office’s stance.

In 2014, the ATO released guidance stating that it would not treat cryptocurrencies as money – and that it would therefore be taxed in the same way as a non-cash barter transaction.

At the time of publication, bitcoins had risen Five.83 per cent on Tuesday to $Three,074.56 per coin, and ethereum had lifted 25.1 per cent to $284.26.

Bitcoin stir over – there – s a fresh kid on the blockchain – ABC News (Australian Broadcasting Corporation)

Bitcoin stir over – there's a fresh kid on the blockchain

The cryptocurrency market has rallied threefold and is now worth $101 billion – with bitcoin’s share being almost half.

Retuers: Andy Clark

The digital currency bitcoin has violated fresh records – surging by more than two hundred forty five per cent since the embark of the year.

Key points:

  • Total cryptocurrency market is worth $US75b (or $101b)
  • The top ten currencies (including bitcoin and ethereum) have a ninety four per cent market share
  • Government will make switches to GST so bitcoin transactions are not dual taxed

In just five months, the price of one bitcoin rose from $1,337 (US$997.Sixty-nine) to its all-time-high of $Three,704 (US$Two,766.56) on May 25.

People buy bitcoins for all sorts of reasons. They range from those seeking to invest in safe haven assets in the face of political instability, speculators wanting to rail the wave of what some regard to be an asset bubble, to purchasers who want to purchase illegal goods anonymously on the dark web.

Since mid-2010, when the highly-volatile currency was worth just nine cents, it has surged by more than four million per cent.

When you add the value of every bitcoin, its current market capitalisation is $49.6 billion – almost half of the value of all cryptocurrencies.

Bitcoin explained

Bitcoin, however, is not the only digital currency which has loved a strong market rally.

“We’ve had the total market capitalisation of all cryptocurrencies rising three-fold this year – from around US$25 billion to now US$75 billion,” according to Steve Sammartino, entrepreneur and technology author.

In Australian dollar terms, the total market capitalisation is more than $101 billion.

“The big two, bitcoin and ethereum, are heading the charge,” Mr Sammartino told ABC’s The World Today.

Cryptocurrency bubble risks

Mr Sammartino believes the cryptocurrency market is in a bubble.

“The question is which of these cryptocurrencies is going to fail, and which will ones are going to be the winners?”

The ten largest cryptocurrencies are worth more than $95 billion – approximately ninety four per cent of the total market share.

However, the remaining six per cent of the market is flooded disproportionately by more than eight hundred of these currencies.

Photo The top ten cryptocurrencies and their market capitalisations (at May 30, 2017).

“People are investing, I think, exuberantly. In a way, they are hoping for irrational economic profits they are not going to get,” Mr Sammartino said.

“There have been more than one hundred ICOs (initial coin offerings) this year.”

Unlike the IPO (initial public suggesting) of a company in the share market, ICOs are not backed by any real, intrinsic value.

“Anyone could begin a coin by putting a platform out there and releasing coins on the market using open source software,” Mr Sammartino said.

“The problem is these ICOs fall outside the governance of the SEC [US Securities and Exchange Commission] and ASIC [Australian Securities and Investments Commission], but they behave like IPOs in the stock market.

“Creative technologists can raise large amounts of capital with the fresh cryptocurrency, [then] exit their own position without any regulatory approvals or oversights.”

The rise of number two – ethereum

Investors who think bitcoins are too expensive, or are looking for higher yields, are turning to some of the alternative cryptocurrencies.

Bitcoin’s two hundred forty five per cent surge this year is just a blip, when compared to the bull run of ethereum, which was launched in 2014.

Since January Three, the price of an ethereum unit has surged by more than Two,000 per cent – from $12.Sixty-nine (US$9.48) to its record-high of $257.59 (US$192.32) on May 24.

One reason for the massive uptake in ethereum is the endorsement it has received from multinational powerhouses including Accenture, Microsoft, Intel, JPMorgan Pursue and UBS.

In late-February, those corporate giants (plus two dozen other companies) teamed up to form the Enterprise Ethereum Alliance (EEA).

Credit Suisse, ING, Bank of Fresh York and Thomson Reuters were also among the founding members of EEA.

The alliance was formed to “build, promote and broadly support ethereum-based technology best practices, standards and a reference architecture,” according to a statement released by the EEA.

Since its formation, more than eighty other multinationals have joined the EEA including Toyota, State Street, Merck and Rabobank.

Photo Companies that are part of the Enterprise Ethereum Alliance.

The EEA is essentially attempting to create a fresh kind of computing system based on ethereum’s blockchain.

Blockchain is the technology that bitcoin, ethereum and other cryptocurrencies use to facilitate anonymous transactions.

It is basically the register of all transactions in a cryptocurrency, like a bank ledger – which is updated whenever a transaction occurs.

Whereas bitcoin’s blockchain is used as consumer payment technology, ethereum’s blockchain can also be used for its ‘brainy contract’ applications – which is what attracted the interest of those multinationals.

A brainy contract is a computer program that automatically executes the terms of a contract when certain conditions are met.

Through automation, this technology has the potential to reduce the amount of human labour needed to accomplish a deal.

The future of cryptocurrencies

Albeit Mr Sammartino considers bitcoin, ethereum and the broader cryptocurrency market is in a bubble, he believes they are the future of payment systems.

“People are commencing to realise, within the financial and governmental community, that cryptocurrencies are not going to go away, and they are going to be a staple of our modern economy.”

The Australian Government shares some of that sentiment, given its fresh stance on financial technology and innovation.

“The Government will encourage the exploration of blockchain technology, including through a investigate and pilot testing by the CSIRO’s Data61,” it noted in the latest federal budget.

“We will also introduce switches to the GST to ensure that consumers are no longer dual taxed when using digital currencies such as bitcoin.”

This is a reversal of the Australian Taxation Office’s stance.

In 2014, the ATO released guidance stating that it would not treat cryptocurrencies as money – and that it would therefore be taxed in the same way as a non-cash barter transaction.

At the time of publication, bitcoins had risen Five.83 per cent on Tuesday to $Three,074.56 per coin, and ethereum had lifted 25.1 per cent to $284.26.

Bitcoin stir over – there – s a fresh kid on the blockchain – ABC News (Australian Broadcasting Corporation)

Bitcoin budge over – there's a fresh kid on the blockchain

The cryptocurrency market has rallied threefold and is now worth $101 billion – with bitcoin’s share being almost half.

Retuers: Andy Clark

The digital currency bitcoin has cracked fresh records – surging by more than two hundred forty five per cent since the embark of the year.

Key points:

  • Total cryptocurrency market is worth $US75b (or $101b)
  • The top ten currencies (including bitcoin and ethereum) have a ninety four per cent market share
  • Government will make switches to GST so bitcoin transactions are not dual taxed

In just five months, the price of one bitcoin rose from $1,337 (US$997.Sixty nine) to its all-time-high of $Trio,704 (US$Two,766.56) on May 25.

People buy bitcoins for all sorts of reasons. They range from those seeking to invest in safe haven assets in the face of political instability, speculators wanting to rail the wave of what some regard to be an asset bubble, to purchasers who want to purchase illegal goods anonymously on the dark web.

Since mid-2010, when the highly-volatile currency was worth just nine cents, it has surged by more than four million per cent.

When you add the value of every bitcoin, its current market capitalisation is $49.6 billion – almost half of the value of all cryptocurrencies.

Bitcoin explained

Bitcoin, however, is not the only digital currency which has liked a strong market rally.

“We’ve had the total market capitalisation of all cryptocurrencies rising three-fold this year – from around US$25 billion to now US$75 billion,” according to Steve Sammartino, entrepreneur and technology author.

In Australian dollar terms, the total market capitalisation is more than $101 billion.

“The big two, bitcoin and ethereum, are heading the charge,” Mr Sammartino told ABC’s The World Today.

Cryptocurrency bubble risks

Mr Sammartino believes the cryptocurrency market is in a bubble.

“The question is which of these cryptocurrencies is going to fail, and which will ones are going to be the winners?”

The ten largest cryptocurrencies are worth more than $95 billion – approximately ninety four per cent of the total market share.

However, the remaining six per cent of the market is flooded disproportionately by more than eight hundred of these currencies.

Photo The top ten cryptocurrencies and their market capitalisations (at May 30, 2017).

“People are investing, I think, exuberantly. In a way, they are hoping for irrational economic profits they are not going to get,” Mr Sammartino said.

“There have been more than one hundred ICOs (initial coin offerings) this year.”

Unlike the IPO (initial public suggesting) of a company in the share market, ICOs are not backed by any real, intrinsic value.

“Anyone could begin a coin by putting a platform out there and releasing coins on the market using open source software,” Mr Sammartino said.

“The problem is these ICOs fall outside the governance of the SEC [US Securities and Exchange Commission] and ASIC [Australian Securities and Investments Commission], but they behave like IPOs in the stock market.

“Creative technologists can raise large amounts of capital with the fresh cryptocurrency, [then] exit their own position without any regulatory approvals or oversights.”

The rise of number two – ethereum

Investors who think bitcoins are too expensive, or are looking for higher yields, are turning to some of the alternative cryptocurrencies.

Bitcoin’s two hundred forty five per cent surge this year is just a blip, when compared to the bull run of ethereum, which was launched in 2014.

Since January Trio, the price of an ethereum unit has surged by more than Two,000 per cent – from $12.Sixty nine (US$9.48) to its record-high of $257.59 (US$192.32) on May 24.

One reason for the massive uptake in ethereum is the endorsement it has received from multinational powerhouses including Accenture, Microsoft, Intel, JPMorgan Pursue and UBS.

In late-February, those corporate giants (plus two dozen other companies) teamed up to form the Enterprise Ethereum Alliance (EEA).

Credit Suisse, ING, Bank of Fresh York and Thomson Reuters were also among the founding members of EEA.

The alliance was formed to “build, promote and broadly support ethereum-based technology best practices, standards and a reference architecture,” according to a statement released by the EEA.

Since its formation, more than eighty other multinationals have joined the EEA including Toyota, State Street, Merck and Rabobank.

Photo Companies that are part of the Enterprise Ethereum Alliance.

The EEA is essentially attempting to create a fresh kind of computing system based on ethereum’s blockchain.

Blockchain is the technology that bitcoin, ethereum and other cryptocurrencies use to facilitate anonymous transactions.

It is basically the register of all transactions in a cryptocurrency, like a bank ledger – which is updated whenever a transaction occurs.

Whereas bitcoin’s blockchain is used as consumer payment technology, ethereum’s blockchain can also be used for its ‘brainy contract’ applications – which is what attracted the interest of those multinationals.

A wise contract is a computer program that automatically executes the terms of a contract when certain conditions are met.

Through automation, this technology has the potential to reduce the amount of human labour needed to accomplish a deal.

The future of cryptocurrencies

Albeit Mr Sammartino considers bitcoin, ethereum and the broader cryptocurrency market is in a bubble, he believes they are the future of payment systems.

“People are embarking to realise, within the financial and governmental community, that cryptocurrencies are not going to go away, and they are going to be a staple of our modern economy.”

The Australian Government shares some of that sentiment, given its fresh stance on financial technology and innovation.

“The Government will encourage the exploration of blockchain technology, including through a examine and pilot testing by the CSIRO’s Data61,” it noted in the latest federal budget.

“We will also introduce switches to the GST to ensure that consumers are no longer dual taxed when using digital currencies such as bitcoin.”

This is a reversal of the Australian Taxation Office’s stance.

In 2014, the ATO released guidance stating that it would not treat cryptocurrencies as money – and that it would therefore be taxed in the same way as a non-cash barter transaction.

At the time of publication, bitcoins had risen Five.83 per cent on Tuesday to $Trio,074.56 per coin, and ethereum had lifted 25.1 per cent to $284.26.

Bitcoin budge over – there – s a fresh kid on the blockchain – ABC News (Australian Broadcasting Corporation)

Bitcoin budge over – there's a fresh kid on the blockchain

The cryptocurrency market has rallied threefold and is now worth $101 billion – with bitcoin’s share being almost half.

Retuers: Andy Clark

The digital currency bitcoin has cracked fresh records – surging by more than two hundred forty five per cent since the commence of the year.

Key points:

  • Total cryptocurrency market is worth $US75b (or $101b)
  • The top ten currencies (including bitcoin and ethereum) have a ninety four per cent market share
  • Government will make switches to GST so bitcoin transactions are not dual taxed

In just five months, the price of one bitcoin rose from $1,337 (US$997.Sixty nine) to its all-time-high of $Three,704 (US$Two,766.56) on May 25.

People buy bitcoins for all sorts of reasons. They range from those seeking to invest in safe haven assets in the face of political instability, speculators wanting to rail the wave of what some regard to be an asset bubble, to purchasers who want to purchase illegal goods anonymously on the dark web.

Since mid-2010, when the highly-volatile currency was worth just nine cents, it has surged by more than four million per cent.

When you add the value of every bitcoin, its current market capitalisation is $49.6 billion – almost half of the value of all cryptocurrencies.

Bitcoin explained

Bitcoin, however, is not the only digital currency which has loved a strong market rally.

“We’ve had the total market capitalisation of all cryptocurrencies rising three-fold this year – from around US$25 billion to now US$75 billion,” according to Steve Sammartino, entrepreneur and technology author.

In Australian dollar terms, the total market capitalisation is more than $101 billion.

“The big two, bitcoin and ethereum, are heading the charge,” Mr Sammartino told ABC’s The World Today.

Cryptocurrency bubble risks

Mr Sammartino believes the cryptocurrency market is in a bubble.

“The question is which of these cryptocurrencies is going to fail, and which will ones are going to be the winners?”

The ten largest cryptocurrencies are worth more than $95 billion – approximately ninety four per cent of the total market share.

However, the remaining six per cent of the market is flooded disproportionately by more than eight hundred of these currencies.

Photo The top ten cryptocurrencies and their market capitalisations (at May 30, 2017).

“People are investing, I think, exuberantly. In a way, they are hoping for irrational economic profits they are not going to get,” Mr Sammartino said.

“There have been more than one hundred ICOs (initial coin offerings) this year.”

Unlike the IPO (initial public suggesting) of a company in the share market, ICOs are not backed by any real, intrinsic value.

“Anyone could commence a coin by putting a platform out there and releasing coins on the market using open source software,” Mr Sammartino said.

“The problem is these ICOs fall outside the governance of the SEC [US Securities and Exchange Commission] and ASIC [Australian Securities and Investments Commission], but they behave like IPOs in the stock market.

“Creative technologists can raise large amounts of capital with the fresh cryptocurrency, [then] exit their own position without any regulatory approvals or oversights.”

The rise of number two – ethereum

Investors who think bitcoins are too expensive, or are looking for higher yields, are turning to some of the alternative cryptocurrencies.

Bitcoin’s two hundred forty five per cent surge this year is just a blip, when compared to the bull run of ethereum, which was launched in 2014.

Since January Three, the price of an ethereum unit has surged by more than Two,000 per cent – from $12.Sixty-nine (US$9.48) to its record-high of $257.59 (US$192.32) on May 24.

One reason for the massive uptake in ethereum is the endorsement it has received from multinational powerhouses including Accenture, Microsoft, Intel, JPMorgan Pursue and UBS.

In late-February, those corporate giants (plus two dozen other companies) teamed up to form the Enterprise Ethereum Alliance (EEA).

Credit Suisse, ING, Bank of Fresh York and Thomson Reuters were also among the founding members of EEA.

The alliance was formed to “build, promote and broadly support ethereum-based technology best practices, standards and a reference architecture,” according to a statement released by the EEA.

Since its formation, more than eighty other multinationals have joined the EEA including Toyota, State Street, Merck and Rabobank.

Photo Companies that are part of the Enterprise Ethereum Alliance.

The EEA is essentially attempting to create a fresh kind of computing system based on ethereum’s blockchain.

Blockchain is the technology that bitcoin, ethereum and other cryptocurrencies use to facilitate anonymous transactions.

It is basically the register of all transactions in a cryptocurrency, like a bank ledger – which is updated whenever a transaction occurs.

Whereas bitcoin’s blockchain is used as consumer payment technology, ethereum’s blockchain can also be used for its ‘clever contract’ applications – which is what attracted the interest of those multinationals.

A wise contract is a computer program that automatically executes the terms of a contract when certain conditions are met.

Through automation, this technology has the potential to reduce the amount of human labour needed to accomplish a deal.

The future of cryptocurrencies

Albeit Mr Sammartino considers bitcoin, ethereum and the broader cryptocurrency market is in a bubble, he believes they are the future of payment systems.

“People are kicking off to realise, within the financial and governmental community, that cryptocurrencies are not going to go away, and they are going to be a staple of our modern economy.”

The Australian Government shares some of that sentiment, given its fresh stance on financial technology and innovation.

“The Government will encourage the exploration of blockchain technology, including through a examine and pilot testing by the CSIRO’s Data61,” it noted in the latest federal budget.

“We will also introduce switches to the GST to ensure that consumers are no longer dual taxed when using digital currencies such as bitcoin.”

This is a reversal of the Australian Taxation Office’s stance.

In 2014, the ATO released guidance stating that it would not treat cryptocurrencies as money – and that it would therefore be taxed in the same way as a non-cash barter transaction.

At the time of publication, bitcoins had risen Five.83 per cent on Tuesday to $Trio,074.56 per coin, and ethereum had lifted 25.1 per cent to $284.26.

Bitcoin stir over – there – s a fresh kid on the blockchain – ABC News (Australian Broadcasting Corporation)

Bitcoin budge over – there's a fresh kid on the blockchain

The cryptocurrency market has rallied threefold and is now worth $101 billion – with bitcoin’s share being almost half.

Retuers: Andy Clark

The digital currency bitcoin has cracked fresh records – surging by more than two hundred forty five per cent since the commence of the year.

Key points:

  • Total cryptocurrency market is worth $US75b (or $101b)
  • The top ten currencies (including bitcoin and ethereum) have a ninety four per cent market share
  • Government will make switches to GST so bitcoin transactions are not dual taxed

In just five months, the price of one bitcoin rose from $1,337 (US$997.Sixty-nine) to its all-time-high of $Three,704 (US$Two,766.56) on May 25.

People buy bitcoins for all sorts of reasons. They range from those seeking to invest in safe haven assets in the face of political instability, speculators wanting to rail the wave of what some regard to be an asset bubble, to purchasers who want to purchase illegal goods anonymously on the dark web.

Since mid-2010, when the highly-volatile currency was worth just nine cents, it has surged by more than four million per cent.

When you add the value of every bitcoin, its current market capitalisation is $49.6 billion – almost half of the value of all cryptocurrencies.

Bitcoin explained

Bitcoin, however, is not the only digital currency which has loved a strong market rally.

“We’ve had the total market capitalisation of all cryptocurrencies rising three-fold this year – from around US$25 billion to now US$75 billion,” according to Steve Sammartino, entrepreneur and technology author.

In Australian dollar terms, the total market capitalisation is more than $101 billion.

“The big two, bitcoin and ethereum, are heading the charge,” Mr Sammartino told ABC’s The World Today.

Cryptocurrency bubble risks

Mr Sammartino believes the cryptocurrency market is in a bubble.

“The question is which of these cryptocurrencies is going to fail, and which will ones are going to be the winners?”

The ten largest cryptocurrencies are worth more than $95 billion – approximately ninety four per cent of the total market share.

However, the remaining six per cent of the market is flooded disproportionately by more than eight hundred of these currencies.

Photo The top ten cryptocurrencies and their market capitalisations (at May 30, 2017).

“People are investing, I think, exuberantly. In a way, they are hoping for irrational economic profits they are not going to get,” Mr Sammartino said.

“There have been more than one hundred ICOs (initial coin offerings) this year.”

Unlike the IPO (initial public suggesting) of a company in the share market, ICOs are not backed by any real, intrinsic value.

“Anyone could embark a coin by putting a platform out there and releasing coins on the market using open source software,” Mr Sammartino said.

“The problem is these ICOs fall outside the governance of the SEC [US Securities and Exchange Commission] and ASIC [Australian Securities and Investments Commission], but they behave like IPOs in the stock market.

“Creative technologists can raise large amounts of capital with the fresh cryptocurrency, [then] exit their own position without any regulatory approvals or oversights.”

The rise of number two – ethereum

Investors who think bitcoins are too expensive, or are looking for higher yields, are turning to some of the alternative cryptocurrencies.

Bitcoin’s two hundred forty five per cent surge this year is just a blip, when compared to the bull run of ethereum, which was launched in 2014.

Since January Three, the price of an ethereum unit has surged by more than Two,000 per cent – from $12.Sixty-nine (US$9.48) to its record-high of $257.59 (US$192.32) on May 24.

One reason for the massive uptake in ethereum is the endorsement it has received from multinational powerhouses including Accenture, Microsoft, Intel, JPMorgan Pursue and UBS.

In late-February, those corporate giants (plus two dozen other companies) teamed up to form the Enterprise Ethereum Alliance (EEA).

Credit Suisse, ING, Bank of Fresh York and Thomson Reuters were also among the founding members of EEA.

The alliance was formed to “build, promote and broadly support ethereum-based technology best practices, standards and a reference architecture,” according to a statement released by the EEA.

Since its formation, more than eighty other multinationals have joined the EEA including Toyota, State Street, Merck and Rabobank.

Photo Companies that are part of the Enterprise Ethereum Alliance.

The EEA is essentially attempting to create a fresh kind of computing system based on ethereum’s blockchain.

Blockchain is the technology that bitcoin, ethereum and other cryptocurrencies use to facilitate anonymous transactions.

It is basically the register of all transactions in a cryptocurrency, like a bank ledger – which is updated whenever a transaction occurs.

Whereas bitcoin’s blockchain is used as consumer payment technology, ethereum’s blockchain can also be used for its ‘clever contract’ applications – which is what attracted the interest of those multinationals.

A wise contract is a computer program that automatically executes the terms of a contract when certain conditions are met.

Through automation, this technology has the potential to reduce the amount of human labour needed to accomplish a deal.

The future of cryptocurrencies

Albeit Mr Sammartino considers bitcoin, ethereum and the broader cryptocurrency market is in a bubble, he believes they are the future of payment systems.

“People are beginning to realise, within the financial and governmental community, that cryptocurrencies are not going to go away, and they are going to be a staple of our modern economy.”

The Australian Government shares some of that sentiment, given its fresh stance on financial technology and innovation.

“The Government will encourage the exploration of blockchain technology, including through a investigate and pilot testing by the CSIRO’s Data61,” it noted in the latest federal budget.

“We will also introduce switches to the GST to ensure that consumers are no longer dual taxed when using digital currencies such as bitcoin.”

This is a reversal of the Australian Taxation Office’s stance.

In 2014, the ATO released guidance stating that it would not treat cryptocurrencies as money – and that it would therefore be taxed in the same way as a non-cash barter transaction.

At the time of publication, bitcoins had risen Five.83 per cent on Tuesday to $Three,074.56 per coin, and ethereum had lifted 25.1 per cent to $284.26.

Bitcoin budge over – there – s a fresh kid on the blockchain – ABC News (Australian Broadcasting Corporation)

Bitcoin budge over – there's a fresh kid on the blockchain

The cryptocurrency market has rallied threefold and is now worth $101 billion – with bitcoin’s share being almost half.

Retuers: Andy Clark

The digital currency bitcoin has violated fresh records – surging by more than two hundred forty five per cent since the embark of the year.

Key points:

  • Total cryptocurrency market is worth $US75b (or $101b)
  • The top ten currencies (including bitcoin and ethereum) have a ninety four per cent market share
  • Government will make switches to GST so bitcoin transactions are not dual taxed

In just five months, the price of one bitcoin rose from $1,337 (US$997.Sixty nine) to its all-time-high of $Trio,704 (US$Two,766.56) on May 25.

People buy bitcoins for all sorts of reasons. They range from those seeking to invest in safe haven assets in the face of political instability, speculators wanting to rail the wave of what some regard to be an asset bubble, to purchasers who want to purchase illegal goods anonymously on the dark web.

Since mid-2010, when the highly-volatile currency was worth just nine cents, it has surged by more than four million per cent.

When you add the value of every bitcoin, its current market capitalisation is $49.6 billion – almost half of the value of all cryptocurrencies.

Bitcoin explained

Bitcoin, however, is not the only digital currency which has liked a strong market rally.

“We’ve had the total market capitalisation of all cryptocurrencies rising three-fold this year – from around US$25 billion to now US$75 billion,” according to Steve Sammartino, entrepreneur and technology author.

In Australian dollar terms, the total market capitalisation is more than $101 billion.

“The big two, bitcoin and ethereum, are heading the charge,” Mr Sammartino told ABC’s The World Today.

Cryptocurrency bubble risks

Mr Sammartino believes the cryptocurrency market is in a bubble.

“The question is which of these cryptocurrencies is going to fail, and which will ones are going to be the winners?”

The ten largest cryptocurrencies are worth more than $95 billion – approximately ninety four per cent of the total market share.

However, the remaining six per cent of the market is flooded disproportionately by more than eight hundred of these currencies.

Photo The top ten cryptocurrencies and their market capitalisations (at May 30, 2017).

“People are investing, I think, exuberantly. In a way, they are hoping for irrational economic profits they are not going to get,” Mr Sammartino said.

“There have been more than one hundred ICOs (initial coin offerings) this year.”

Unlike the IPO (initial public suggesting) of a company in the share market, ICOs are not backed by any real, intrinsic value.

“Anyone could embark a coin by putting a platform out there and releasing coins on the market using open source software,” Mr Sammartino said.

“The problem is these ICOs fall outside the governance of the SEC [US Securities and Exchange Commission] and ASIC [Australian Securities and Investments Commission], but they behave like IPOs in the stock market.

“Creative technologists can raise large amounts of capital with the fresh cryptocurrency, [then] exit their own position without any regulatory approvals or oversights.”

The rise of number two – ethereum

Investors who think bitcoins are too expensive, or are looking for higher yields, are turning to some of the alternative cryptocurrencies.

Bitcoin’s two hundred forty five per cent surge this year is just a blip, when compared to the bull run of ethereum, which was launched in 2014.

Since January Trio, the price of an ethereum unit has surged by more than Two,000 per cent – from $12.Sixty-nine (US$9.48) to its record-high of $257.59 (US$192.32) on May 24.

One reason for the massive uptake in ethereum is the endorsement it has received from multinational powerhouses including Accenture, Microsoft, Intel, JPMorgan Pursue and UBS.

In late-February, those corporate giants (plus two dozen other companies) teamed up to form the Enterprise Ethereum Alliance (EEA).

Credit Suisse, ING, Bank of Fresh York and Thomson Reuters were also among the founding members of EEA.

The alliance was formed to “build, promote and broadly support ethereum-based technology best practices, standards and a reference architecture,” according to a statement released by the EEA.

Since its formation, more than eighty other multinationals have joined the EEA including Toyota, State Street, Merck and Rabobank.

Photo Companies that are part of the Enterprise Ethereum Alliance.

The EEA is essentially attempting to create a fresh kind of computing system based on ethereum’s blockchain.

Blockchain is the technology that bitcoin, ethereum and other cryptocurrencies use to facilitate anonymous transactions.

It is basically the register of all transactions in a cryptocurrency, like a bank ledger – which is updated whenever a transaction occurs.

Whereas bitcoin’s blockchain is used as consumer payment technology, ethereum’s blockchain can also be used for its ‘clever contract’ applications – which is what attracted the interest of those multinationals.

A clever contract is a computer program that automatically executes the terms of a contract when certain conditions are met.

Through automation, this technology has the potential to reduce the amount of human labour needed to finish a deal.

The future of cryptocurrencies

Albeit Mr Sammartino considers bitcoin, ethereum and the broader cryptocurrency market is in a bubble, he believes they are the future of payment systems.

“People are kicking off to realise, within the financial and governmental community, that cryptocurrencies are not going to go away, and they are going to be a staple of our modern economy.”

The Australian Government shares some of that sentiment, given its fresh stance on financial technology and innovation.

“The Government will encourage the exploration of blockchain technology, including through a probe and pilot testing by the CSIRO’s Data61,” it noted in the latest federal budget.

“We will also introduce switches to the GST to ensure that consumers are no longer dual taxed when using digital currencies such as bitcoin.”

This is a reversal of the Australian Taxation Office’s stance.

In 2014, the ATO released guidance stating that it would not treat cryptocurrencies as money – and that it would therefore be taxed in the same way as a non-cash barter transaction.

At the time of publication, bitcoins had risen Five.83 per cent on Tuesday to $Trio,074.56 per coin, and ethereum had lifted 25.1 per cent to $284.26.

Bitcoin budge over – there – s a fresh kid on the blockchain – ABC News (Australian Broadcasting Corporation)

Bitcoin budge over – there's a fresh kid on the blockchain

The cryptocurrency market has rallied threefold and is now worth $101 billion – with bitcoin’s share being almost half.

Retuers: Andy Clark

The digital currency bitcoin has violated fresh records – surging by more than two hundred forty five per cent since the commence of the year.

Key points:

  • Total cryptocurrency market is worth $US75b (or $101b)
  • The top ten currencies (including bitcoin and ethereum) have a ninety four per cent market share
  • Government will make switches to GST so bitcoin transactions are not dual taxed

In just five months, the price of one bitcoin rose from $1,337 (US$997.Sixty nine) to its all-time-high of $Trio,704 (US$Two,766.56) on May 25.

People buy bitcoins for all sorts of reasons. They range from those seeking to invest in safe haven assets in the face of political instability, speculators wanting to rail the wave of what some regard to be an asset bubble, to purchasers who want to purchase illegal goods anonymously on the dark web.

Since mid-2010, when the highly-volatile currency was worth just nine cents, it has surged by more than four million per cent.

When you add the value of every bitcoin, its current market capitalisation is $49.6 billion – almost half of the value of all cryptocurrencies.

Bitcoin explained

Bitcoin, however, is not the only digital currency which has liked a strong market rally.

“We’ve had the total market capitalisation of all cryptocurrencies rising three-fold this year – from around US$25 billion to now US$75 billion,” according to Steve Sammartino, entrepreneur and technology author.

In Australian dollar terms, the total market capitalisation is more than $101 billion.

“The big two, bitcoin and ethereum, are heading the charge,” Mr Sammartino told ABC’s The World Today.

Cryptocurrency bubble risks

Mr Sammartino believes the cryptocurrency market is in a bubble.

“The question is which of these cryptocurrencies is going to fail, and which will ones are going to be the winners?”

The ten largest cryptocurrencies are worth more than $95 billion – approximately ninety four per cent of the total market share.

However, the remaining six per cent of the market is flooded disproportionately by more than eight hundred of these currencies.

Photo The top ten cryptocurrencies and their market capitalisations (at May 30, 2017).

“People are investing, I think, exuberantly. In a way, they are hoping for irrational economic profits they are not going to get,” Mr Sammartino said.

“There have been more than one hundred ICOs (initial coin offerings) this year.”

Unlike the IPO (initial public suggesting) of a company in the share market, ICOs are not backed by any real, intrinsic value.

“Anyone could embark a coin by putting a platform out there and releasing coins on the market using open source software,” Mr Sammartino said.

“The problem is these ICOs fall outside the governance of the SEC [US Securities and Exchange Commission] and ASIC [Australian Securities and Investments Commission], but they behave like IPOs in the stock market.

“Creative technologists can raise large amounts of capital with the fresh cryptocurrency, [then] exit their own position without any regulatory approvals or oversights.”

The rise of number two – ethereum

Investors who think bitcoins are too expensive, or are looking for higher yields, are turning to some of the alternative cryptocurrencies.

Bitcoin’s two hundred forty five per cent surge this year is just a blip, when compared to the bull run of ethereum, which was launched in 2014.

Since January Three, the price of an ethereum unit has surged by more than Two,000 per cent – from $12.Sixty-nine (US$9.48) to its record-high of $257.59 (US$192.32) on May 24.

One reason for the massive uptake in ethereum is the endorsement it has received from multinational powerhouses including Accenture, Microsoft, Intel, JPMorgan Pursue and UBS.

In late-February, those corporate giants (plus two dozen other companies) teamed up to form the Enterprise Ethereum Alliance (EEA).

Credit Suisse, ING, Bank of Fresh York and Thomson Reuters were also among the founding members of EEA.

The alliance was formed to “build, promote and broadly support ethereum-based technology best practices, standards and a reference architecture,” according to a statement released by the EEA.

Since its formation, more than eighty other multinationals have joined the EEA including Toyota, State Street, Merck and Rabobank.

Photo Companies that are part of the Enterprise Ethereum Alliance.

The EEA is essentially attempting to create a fresh kind of computing system based on ethereum’s blockchain.

Blockchain is the technology that bitcoin, ethereum and other cryptocurrencies use to facilitate anonymous transactions.

It is basically the register of all transactions in a cryptocurrency, like a bank ledger – which is updated whenever a transaction occurs.

Whereas bitcoin’s blockchain is used as consumer payment technology, ethereum’s blockchain can also be used for its ‘wise contract’ applications – which is what attracted the interest of those multinationals.

A clever contract is a computer program that automatically executes the terms of a contract when certain conditions are met.

Through automation, this technology has the potential to reduce the amount of human labour needed to finish a deal.

The future of cryptocurrencies

Albeit Mr Sammartino considers bitcoin, ethereum and the broader cryptocurrency market is in a bubble, he believes they are the future of payment systems.

“People are kicking off to realise, within the financial and governmental community, that cryptocurrencies are not going to go away, and they are going to be a staple of our modern economy.”

The Australian Government shares some of that sentiment, given its fresh stance on financial technology and innovation.

“The Government will encourage the exploration of blockchain technology, including through a probe and pilot testing by the CSIRO’s Data61,” it noted in the latest federal budget.

“We will also introduce switches to the GST to ensure that consumers are no longer dual taxed when using digital currencies such as bitcoin.”

This is a reversal of the Australian Taxation Office’s stance.

In 2014, the ATO released guidance stating that it would not treat cryptocurrencies as money – and that it would therefore be taxed in the same way as a non-cash barter transaction.

At the time of publication, bitcoins had risen Five.83 per cent on Tuesday to $Three,074.56 per coin, and ethereum had lifted 25.1 per cent to $284.26.

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