Bitcoin, Ethereum, Blockchain Grow

Big institutions more resigned to blockchain takeover

On the brink of doubt bitcoin and Ethereum surge

The demise of bitcoin and other cryptocurrencies built on blockchain technology has pursed the lips of skeptics from its beginning.

And at times bitcoin has seemed on the brink of slipping away into the abyss of crackpot inventions never to be seen again like the Segway and new coke.

Jamie Dimon of JP Morgan Chase says bitcoin is a fraud that will eventually blow up and is reminiscent of the tulip market that failed in the Netherlands in medieval times.

But even on the shakiest of ground, bitcoin has demonstrated itself to be a technology destined to make an impact, if not overturn the whole system entirely. As established Wall Street brokers thumb their nose, still intoxicated with the smell of green ink and sweaty paper, a large number of money managers are giving bitcoin serious consideration.

Bitcoin hitting the mainstream?

The recent flow of experts and new investment into bitcoin is just the kind of synergy needed to push cryptocurrency finally into the mainstream. As many warn against bitcoin, the data shows something different. Of late, there has been a surge in investment funds related to bitcoin. Funds have rapidly grown to 124 from just a few just since 2015.

Total investments are currently in the billions, three to be exact. Most investment centers around venture capitalism, while the next biggest sector is in bitcoin trading. A subset of cryptocurrencies currently emerging is the rise of ICO or initial coin offerings.

What ICO means is that companies offer a sale of tokens undergirded by blockchain that buyers can hold, trade for bitcoin or Ethereum or use in exchange for that companies products or services. ICO's are controversial and are banned in China and South Korea. In the US they remain unregulated but that will most likely change. From CNBC

Ethereum the blockchain technology for big transactions

Ethereum is the next most popular cryptocurrency. It has experienced a tremendous year of growth. The key to its strength is that it allows big transactions to occur due to the more complex nature of its technology.

From Futurism “Let’s say two companies want to conduct a complicated financial transaction, like settling a stock option. Neither company trusts the other company to conduct the transaction on its computers,” the Times wrote. “Both companies could hire a third party, like a stock exchange, to conduct the transaction, which is what they generally do today. But that forces them to trust that third company and to pay that company fees. With Ethereum, they can conduct the transaction on a shared computer that allows them both to check the records, ideally saving on fees.”

Industry experts declare the difference between bitcoin and Ethereum as such. Bitcoin transaction first in cryptocurrency real estate purchase. Ethereum first in trading exchange on NASDAQ. From Futurism