Bitcoin @ $ 22,000: Should you dump gold for the crypto? Your query answered

One of the world’s largest digital currencies surpassed Bitcoin, at $ 22,000 for the first time today, achieving yet another milestone in what has been a jaw-dropping rally for the controversial digital asset this year. To put things into perspective, the digital currency has almost tripled this. year, rising nearly 200% every year so far, and has been clocking its one-way rally after a serious accident in March that saw it lose 25% in the middle of the coronavirus pandemic. As investors continue to wrap up the new asset, the trading community begins to demand Bitcoin as the digital gold.

Nevertheless, the Bitcoin rally has piqued the interest of investors and financial service providers. Many Wall Street companies are trying to capitalize on their earnings in a world of underlying interest rates. And Indian banks are taking notice too. They are now looking at options such as providing funding to crypto exchanges, loans against bitcoin and so on, in exchange for this opportunity. But is India’s regulatory system favorable enough for investors and bankers to trust Bitcoin?

In this podcast, Kshitij Purohit, lead currency and commodities at CapitalVia Global Research explains what has suddenly taken investor confidence in the currency after the 2017 and March 2020 crash and whether investors in India should dump gold and look at Bitcoin as an investment bet?

Dear Reader,

Business Standard has always tried hard to provide up-to-date information and commentary on developments that interest you and that have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering has only made our resolve and commitment to these ideals stronger. Even during these difficult times emanating from Covid-19, we remain committed to keeping you informed and up-to-date with credible news, authoritative perspectives and in-depth commentary on topical issues that are relevant.
However, we have a request.

As we fight the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscribing to our online content can only help us achieve the goals of offering content even better and more relevant to you. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practice the journalism we are committed to.

Supporting quality journalism and subscribe to the Business Standard.

Digital Editor