Mary Barra, CEO of General Motors, a Tesla rival,
said GM has no immediate plans to invest in
Bitcoin but would continue to “monitor and
evaluate” potential use of digital currency.
IS BITCOIN A BUBBLE?
Reiners says that Bitcoin could potentially be a
bubble, if you define one as people buying an
asset for no reason other than the expectation
that it will go up so they can sell at a profit. On
the other hand, he said, there is consensus that
Bitcoin has value as a hedge against inflation
and the broader stock market.
“All that said, I do think the Bitcoin bubble has
plenty of room to inflate. Institutional money
is just starting to get into the space and that’s
going to push the price higher. When this
bubble bursts and at what price Bitcoin settles at
is anyone’s guess,” Reiners said.
HOW BITCOIN CAME TO BE
It’s a mystery. Bitcoin was launched in 2009
by a person or group of people operating
under the name Satoshi Nakamoto. Bitcoin
was then adopted by a small clutch of
enthusiasts. Nakamoto dropped off the
map as bitcoin began to attract widespread
attention. But proponents say that doesn’t
matter: The currency obeys its own
internal logic.
In 2016, An Australian entrepreneur stepped
forward and claimed to be the founder of
bitcoin, only to say days later that he did
not “have the courage” to publish proof
that he is. No one has claimed credit for the
currency since.