Bitcoin News and Update: Mt. Gox Crashes, Bitcoin ATM Opens in United States
It seems that the days of Mt. Gox are over but those of Bitcoin are really still beginning. In a show of strength for the cryptocurrency and its users, the crash of Mt. Gox due to mismanagement has not slowed down investment in Bitcoin but only opened the door to more and better Bitcoin startups.
Many players in the Bitcoin game see the fall of Mt. Gox as overdue and a natural part of the market's evolution. According to Steve Beauregard, CEO and founder of Singapore-based GoCoin, "It's important in the sense of sweeping away a lot of the early unsophisticated folk who got into this and made a name for themselves, but didn't have the management horsepower to manage a company."
Former Swiss banker Antony Lewis agrees: "Finance has got boring in the past five years," he said. "It's not fun, it's very backward looking and all the innovation is in virtual currencies. The next generation of bitcoin companies will be run by people with previous experience of financial service companies and they will need to be capitalised like financial service companies," he says.
Even at this time, there seems to be no shortage of investment of Bitcoin. GoCoin has raised $500,000 and is about to close out another round of funding. "Every venture capital firm will have to have their bitcoin plays in 2014," CEO Steve Beauregard said. "Otherwise they'll be missing the single greatest asset class that's emerging at the moment."
Meanwhile, Bitcoin ATMs are popping up all around the world, installed by entrepreneurs who have faith in the system. In some places, they face heavy regulation as governments are still weary of the cryptocurrency. New Mexico and Massachusetts installed the first and second ATMs in the United States thanks to more lenient local regulations. One Las Vegas company, Robocoin, has installed machines in Vancouver, British Columbia, with more planned for Canada, Hong Kong, Europe and Asia.
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