The total market value of cryptocurrencies pushed past $2 trillion for the first time, doubling in about two months amid surging institutional demand. The virtual trading currency achieved an all-time peak of $2 billion On Monday, April 5 According to data and market trackers Coin Gecko and Block folio, the crypto market cap touched a peak of $2.02 trillion by mid-afternoon.
The world’s biggest virtual currency, touched its own milestone of $1.1 trillion, sustaining its market cap at $1 trillion for one week. Though the digital currency has been trading in a relatively narrow range after mid-March. The surge took place after more than 6,600 coins were tracked by Coin Gecko. Bitcoin has been on a tear as institutional investors dabble in crypto as a way to boost returns on cash in a world of near-zero interest rates. The virtual currency has registered huge gains after gaining further mainstream acceptance among investors. It announced to convert the trust to an exchange-traded fund.
Also Read: US Controls 66.2% of Bitcoin ATMs Worldwide
Who invested in Bitcoin?
In February, billionaire Elon Musk’s electric vehicle company Tesla Inc announced a $1.5 billion investment in bitcoin, leading to a dizzying rally for the currency that made history further by crossing the $50,000 mark for the first time ever. Morgan Stanley is allowing some of its wealthiest clients to add the token to their portfolios. Firms from Mastercard Inc. to PayPal Inc. have taken steps to embrace Bitcoin.
TPT Policy Advocacy and Recommendation
- India should champion decentralized cryptocurrencies like Bitcoin and Ethereum to safeguard national security, prevent de-platforming, attract international capital, strengthen monetary policy, deter financial fraud, accelerate technological development, and hasten India’s ascendance as a global power.
- Crypto brings foreign investment to India. If the Indian government bans it, it will repel trillion dollars in capital coming in the form of crypto. The proposed crypto ban would itself cause capital flight. Learnings must be derived from Switzerland and Singapore who favored crypto to anchor the world, top entrepreneurs and investors, to their country. In turn, this would benefit the remote work and remittances serving as the conduit for capital in-flow.