Tuur Demeester is an independent investor, newsletter writer and editor in chief at Adamant Research. He has a background in Austrian economics, the school that specialises in the study of boom-and-bust cycles in the economy.
2015 was another rollercoaster year for bitcoin: incredible amounts of infrastructure development, lots of talk about ‘the blockchain’ and the fierce scalability debate, all against the backdrop of a crash to $150, which was followed by a high of $500 (so far).
Let’s reflect back on the ups and downs of bitcoin’s financial history, and then we can look forward to the ride to come.
Here’s my condensed take on the financial history of bitcoin:
This is the pre-history of bitcoin-the-currency, as there’s hardly even a price for the tokens generated by the bitcoin software.
A lot of technical and economic discussions take place, and core developers patch a major vulnerability in the source code.
2011: First bubble and experimentation
Several bitcoin exchanges compete for customers, with Mt Gox as the clear winner. Silk Road is launched, as well as payment processor BitPay, the stock exchange GLBSE and bitcoin sees its first price