THE BITCOIN BUBBLE: Cyber Currency Explodes, Surging To Over $115


Bitcoin continues its tear.

And in just the last few minutes, they just spiked up to $115.

Just yesterday we were marveling at Bitcoin passing $100.

For more on what happened overnight on the US markets, see here.

The digital currency has been behaving like the perfect asset bubble in recent weeks.

It’s illegal to make your own money in the United States, but that doesn’t mean authorities will shut down the digital currency bitcoin anytime soon, financial services lawyer Dan Friedberg tells us.

That’s because the feds don’t consider bitcoin — a virtual currency that’s being used around the globe — to be  “tender,” or official bills or coins that look like they’ve been issued by the U.S. government. Instead, it’s considered “virtual currency.”

The US Treasury Financial Crimes Enforcement Network (FinCEN) didn’t mention bitcoin by name, but the new rules applied to “convertible decentralized virtual currency” exactly like bitcoin, Friedberg says.

Bitcoin enthusiasts were a little on edge before FinCEN issued its notice.

“This is a a very new area, and you really never know how the Treasury Department is going to react,” Friedberg says.

More from Friedberg on bitcoin legalities here.

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