Investors Taking Out Mortgages to Buy Bitcoin

Joseph Borg, securities regulator and president of the North American Securities Administrators Association (a voluntary organization geared toward

Joseph Borg, securities regulator and president of the North American Securities Administrators Association (a voluntary organization geared toward protecting investors), has classified Bitcoin’s current stage as its “mania” phase.

“This is a trend that everybody is talking about, but sadly, at eBay, we don’t now accept bitcoin as a form of payment, Cutler said”.

So eager are people to get in on the latest trend they are taking out mortgages on their homes to buy up the rocketing cryptocurrency, according to one USA regulator. “People do credit cards, equity lines”.

According to the regulator, we’re “on this mania curve”. Blockchain is here to stay.

“We’ve seen mortgages being taken out to buy bitcoin”, Borg said.

Bitcoin futures debuted on the Chicago Board Options Exchange (CBOE) recently, while futures on the cryptocurrency will be launched on the Chicago Mercantile Exchange (CME) on 18 December.

Bitcoin, the cryptocurrency, has been making headlines this year as it surged from $1,000 (£750.6) at the start of 2017 to around $19,000 (£14,261) on the Coinbase exchange last week.

However, Borg said that he did not think futures contracts legitimised the digital currency. The first exchange in the U.S. to trade bitcoin futures, Cboe, is expected to be followed by another Chicago-based stock market CME on December 18. “We’re looking at it from a money transmission point of view but that doesn’t cover the entire Bitcoin space“.

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