Business Unusual

Bitcoin, Uber and GoPro - how the mighty are challenged - Part 3

This is an update to the coverage of three subjects previously featured on Business Unusual. Typically these businesses were hailed for their ability to disrupt the market they were in and it appeared at the time that good times lay ahead.

No business gets a free ride though and their success came at the cost of the previous incumbents. As they now move into the prime position it is others that are trying to disrupt them.

This is part 3.

Bitcoin

Bitcoin is still such an outlier to the enormous traditional finance market that even the record new levels the cryptocurrency reached may still not be enough for it to make it.

When it was covered as part of the feature on Blockchain, it was one of the most volatile currencies capable of very large swings compared to traditional currencies. It was growing but from a small base and while it was performing well, there were some big questions looming about how it would fit in the traditional market and how the developer community would evolve to deal with its growing base.

China has been a big influence, not only because the bulk of the mining operations are based there.

Mining itself has turned into a very lucrative investment option for some while being seen as a bubble nearing a pop by others as the blockchain network counters the increasing mining power with ever more difficult hashing computations.

After a slow rise in 2016, it threatened to breach its record high of $1147 set in 2014. On 4 January it hit $1129 and then a new record of $1290 on 4 March. It is now back at $1185.

There will be multiple factors affecting the rise and fall, but the focus of them would also relate to how Chinese and Japanese bitcoin exchanges have reacted to news from the Chinese Central Banks which have sought to regulate the amount of cash Chinese citizens invest into the coin. It also has its and its own plans to introduce a currency of their own which could both undermine bitcoin value while also confirming its place as a legitimate form of currency.

The ides of March may offer another significant boost or potential reason to crash the virtual currency. The US Securities and Exchange Commision will rule if a Bitcoin based ETF will be allowed to trade in the US. If approved it will allow for those with no need to actually use the currency to benefit from investing in it in the same way they might buy gold. It is worth noting that the Bitcoin price exceeded the gold price on 2 March 2017.

Impressive considering it is still not known who even created it.

Interest in the potential of blockchain suggests that even if Bitcoin fails to reach maturity as an alternative store of value, a version of it will.

One of the most recent applications will see IBM and Maersk use blockchain to track containers. It could slash the amount of paperwork needed to move goods while adding almost perfect security to track the movement of goods anywhere in the world.

Now read part 1 - Uber or part 2 - GoPro


Recommended

by NEWSROOM AI

CapeTalk welcomes all comments that are constructive, contribute to discussions in a meaningful manner and take stories forward.

However, we will NOT condone the following:

  • Racism (including offensive comments based on ethnicity and nationality)
  • Sexism
  • Homophobia
  • Religious intolerance
  • Cyber bullying
  • Hate speech
  • Derogatory language
  • Comments inciting violence.

We ask that your comments remain relevant to the articles they appear on and do not include general banter or conversation as this dilutes the effectiveness of the comments section.

We strive to make the CapeTalk community a safe and welcoming space for all.

CapeTalk reserves the right to: 1) remove any comments that do not follow the above guidelines; and, 2) ban users who repeatedly infringe the rules.

Should you find any comments upsetting or offensive you can also flag them and we will assess it against our guidelines.

CapeTalk is constantly reviewing its comments policy in order to create an environment conducive to constructive conversations.

Read More
The 5th Industrial Revolution sounds as scary as hell

The 5th Industrial Revolution sounds as scary as hell

Predicting the future is easy, that is why anyone can do it.

Let me tell you a story, its about how you are being manipulated - all the time.

Let me tell you a story, its about how you are being manipulated - all the time.

Entertainment and news are being used to change the way you see the world and not always truthfully.

The real world is about to change, again

The real world is about to change, again

Not only do you have virtual and augmented versions to compete with your reality, now mixed reality is here too.

Antibiotics: how our miracle medicine may be in danger

Antibiotics: how our miracle medicine may be in danger

We thought we had won the war against harmful bacteria, we were wrong.

We hope tech will fix most things, so what happens when we can't fix technology?

We hope tech will fix most things, so what happens when we can't fix technology?

A system that favours replacement rather than repair has allowed for rapid improvements, but that might need to change.

Why we celebrate a saints day with commercial things to show love

Why we celebrate a saints day with commercial things to show love

Valentine's Day is hundreds of years old, but some of the tokens of our love are quite new.

Popular articles
Why many couples today are struggling with marriage

Why many couples today are struggling with marriage

Dr Eve advises that many modern couples need marriage to be a safe space for self-expression and self-actualisation.

The Big Pet Problem: Are you struggling to rent because you have pets?

The Big Pet Problem: Are you struggling to rent because you have pets?

Frustrated tenants say they're being discriminated against by landlords.

'The NPA should be ready and re-enroll the matter' - Nel on Malema prosecution

'The NPA should be ready and re-enroll the matter' - Nel on Malema prosecution

AfriForum not backing down over decision to privately prosecute Julius Malema.

Ed Dept scraps supplementary exams for matriculants

Ed Dept scraps supplementary exams for matriculants

The Department of Basic Education has announced it will do away with matric supplementary exams from 2019.

Cape Town not out the woods yet even with recent rainfall

Cape Town not out the woods yet even with recent rainfall

Climate expert, Piotr Wolski, says the city will know towards the end of May whether 2018 is a good or bad year.

This is how much you should be paying your domestic worker

This is how much you should be paying your domestic worker

Stephen Rathai, director of employment standards at the Department of Labour talks on the new national minimum wage.

Madiba’s private secretary Zelda la Grange opens up about money (hers and his)

Madiba’s private secretary Zelda la Grange opens up about money (hers and his)

Bruce Whitfield interviews La Grange about her and Madiba's attitude to money (hopes and fears, successes and failures, etc.)

Mugg & Bean agrees to pay medical bill of customer

Mugg & Bean agrees to pay medical bill of customer

Mugg & Bean has agreed to pay for customers medical bills after a month of being in pain and pestering the chain to pay the bill.