“Nihon Keizai Shimbun” disclosed that the inflow of safe-haven funds has driven the skyrocketing of Bitcoin. With the return of speculative funds, the risk of large fluctuations in Bitcoin prices is also rising.
The report pointed out that the reason why Bitcoin can attract a lot of money is that it has the characteristics of not needing the support of value-preserving assets, so it is once again sought after by investors.
The report said that the value of Bitcoin is based on trust in the blockchain issuance and management mechanism. Compared with virtual currencies such as stablecoins that require financial institutions to participate in issuance, the value of Bitcoin assets is less likely to be damaged.