Little Known Bitcoins Gain Value by Over A Million Times ...Peaked At $1,250 in November 2013

Since its introduction in the market in 2009, bitcoin has risen in value by over a million times. Crypto currencies are little known by many people and recently one of these types of virtual currencies has hit the virtual financial market in a storm. Introduced in 2009, Bitcoins have grown in leaps and bounds, and today the crypto-currency is trading way above $1000 dollars mark. 
 
A few years, if you were to buy a bit coin, you would get close to 1,000 bitcoins in every $1 US dollar. Today, a couple of years down the line, things have turned upside down and buying a single bitcoin will cost you more than $1000 dollars. The shift to using crypto currencies is creating a strong market for these kinds of virtual currencies.

The rise of Bitcoin has marked the widespread use and application of virtual currencies in the real financial market. Bitcoins are competing with government issued fiat currencies as merchants begin to accept this virtual currency. There is an historic change taking a toll in financial markets and whether consumers like it or not, virtual currencies may influence the way, online trading is done.

And, as the head of currency research Bank of America Merrill Lynch  said, bitcoins, the unregulated virtual currency might emerge as a serious competitor to the fiat or traditional money transfer providers.

Technology is behind the development of virtual currencies and one remarkable example is that of bitcoins. Bitcoins are today being used in trading foreign exchange and buying products online, and the popularity of this crypto currency is picking up so quickly yet strongly. More and more businesses and individuals are now becoming aware of the benefits of using the crypto currency over traditional currencies.

Although the value of bitcoins is constantly changing, it is heading on the higher scale, and as of November 2013, the virtual currency traded at close to $1300. This is an amazing growth considering that in just a few years, about $1000 bitcoins where trading for $1. There are more than $1.5 billion worth of the bitcoins in the market. Millions of transactions occur daily and there is no fixed price for the virtual currency. It depends on the rate at which the currency is trading in the market.

One difference between bitcoins and the traditional currencies is that this virtual currency is not printed by any centralized bank and no government or bank sets its value. The value of bitcoin fluctuates based on supply and demand. To get started using this type of virtual currency, you need to get a Bitcoin wallet. This is the first step in using the bitcoins.

There are different applications through which you can create your bitcoin wallet. A bitcoin wallet is like an app, which you can download and install in your computer or phone using a software wallet on the internet. Bitcoins can be obtained in different ways such as selling goods and accepting payment in form of bitcoins. More merchants are now doing this as they begin to realize the value and benefit of bitcoins.

You can also purchase and sell the bitcoins through virtual currency exchanges or Bitcoins exchanges. This is the common method used by people to obtain bitcoins. You have to be very careful when you trade online with bitcoins, as the frauds are ripe. You can also trade bitcoins with traditional currencies like US dollars.