Bloomberg Report: Bitcoin to Surpass All Other Currencies in 2016

According to Bloomberg, Bitcoin saw the largest increase in value of all currencies in 2016, as the yuan came under pressure and isolationism in the United States and Britain increased consumer and corporate acceptance.

Data from Bloomberg shows that the price of Bitcoin has risen 79% since the beginning of 2016, reaching $778, the highest level since early 2014.

Five reasons why Bitcoin price is growing

Bloomberg cites five reasons for the rise in Bitcoin prices.

One is the global restrictions on foreign currencies. The Chinese government has made it more difficult for people to spend overseas, resulting in lower liquidity. So Bitcoin, which is not controlled by the government, has become more attractive.

The second is government restrictions on remittances. Policies restrict people's ability to send money to other countries, which drives demand for Bitcoin, which is easy to transfer across borders.

Third, the growth of Bitcoin supply has slowed down, and the rewards paid to miners for creating Bitcoin have dropped by half compared to mid-2015.

Fourth, more and more consumers and businesses are beginning to accept Bitcoin, and a wave of enthusiasm has formed. The more consumers use Bitcoin, the more companies will be willing to accept it as a payment method.

The fifth is the government's fight against corruption and the war on terror. The government's demand for foreign assets has gradually increased in an attempt to reduce corruption and terrorist financing, which has undoubtedly increased the demand for Bitcoin among those who want to evade government supervision.