The bitcoin price has skyrocketed on Sunday, starting from the $247 on Sunday Morning and ending up on around $300 at the time of publication.
There might be a correlation with news this time as Coinbase just announced that they will become a licensed Bitcoin exchange in more than 20 US states, including significant areas like New York City and California.
Coinbase said its exchange will offer greater security for individuals and institutions to trade bitcoin and monitor real-time pricing of the world’s most popular digital currency.
T-minus 17 hours https://t.co/eB0on92NRJ
— Coinbase (@coinbase) January 25, 2015
The new exchange called Lunar has “regulatory approval” in half of all states, including significant areas like New York and California. Fred Ehrsam, the company’s co-founder, told Wall Street Journal that Coinbase will take a small percentage, 0.25%, of most transactions and will take no fees for the first two months.
The exchange will initially be limited to users in the U.S., but Chief Executive Brian Armstrong, 32, said he plans to expand overseas. Mr. Armstrong said he expected to attract both individuals and businesses looking to trade bitcoin. “Our goal is to become the world’s largest exchange,” he said.
Besides, the integration of PayPal’s Braintree with CoinBase, announced in September, made a positive impact on the price of bitcoin. The announcement was followed by PayPal’s limitations regarding its merchants.
“Today, our initial integration with Coinbase is complete and we are opening up private beta access to allow merchants in the US to accept bitcoin via v.Zero,” the company wrote in their blog on January 22.
The price of bitcoin escalated even in spite of the fact that Gates had not chosen it as the distributed payment system of mobile banking in developing countries.
However, the twins Cameron and Tyler Winklevoss are not afraid of fluctuating price of bitcoin: the technology inspired brothers are building the first regulated Bitcoin exchange in the U.S.
The name of their exchange is Gemini. The company’s staff is located in the Winklevoss Capital offices in Manhattan.
The team includes Michael Breu, who previously worked as head of information security in the research department at Bridgewater Associates, head of security Cem Paya, who previously held the same position at Airbnb, Katten Muchin Rosenman, a specialist of financial regulations.
As for the software, the twins hired a developer from the hedge fund Two Sigma, who is building a system suitable for both small investors and institutions that look for direct access to the trading system.
In general, the company is cooperating closely with regulators. That fact helped them have a very important thing: a bank account with an American bank. Again, the twins believe that Bitcoin will survive only if it has regulatory oversight.