Bitcoin is in the midst of a bubble and the market has seen a sharp rise in demand for digital assets over the past few months, a new report shows.
The price of bitcoin surged by more than 3,000% from March to August, according to data from Blockchain, a bitcoin research and analysis firm.
It has gained nearly 50% in value since then, and it’s now trading at around $1,150.
Blockchain said on Wednesday that bitcoin’s value has grown by more more than 10,000%.
Its surging popularity has seen the cryptocurrency’s value surge by more or less 10,500% since late last year, according the firm.
In terms of trading volume, it’s already surpassed the peak reached by the digital currency in the spring of last year.
Bitcoin is widely used as a store of value and a payment system, but it’s also used to buy drugs and other illegal goods.
The digital currency is not backed by a government or central bank and is not regulated by any country.
However, there are growing concerns about its safety.
The government in China has banned the virtual currency as it threatens to disrupt the economy, with the US Treasury Department warning in October that bitcoin could pose a “threat to the integrity of the US financial system.”
In September, the US Senate passed a bill that would have made it easier for companies to regulate bitcoin, although the legislation was vetoed by President Donald Trump in February.
Last week, the SEC announced that it will issue guidance on the virtual currencies.
The agency is expected to issue a final rule later this year, and in the meantime, companies are being urged to make sure their business operations are not exposed to potential risks.
In November, the European Union also launched a crackdown on bitcoin.
It banned trading in digital currencies, including bitcoin, for five years from November 1.
The move came after several major US exchanges were forced to halt trading following concerns about bitcoin’s stability.