The debate rages on: Is bitcoin the biggest bubble in human history? Time will tell. Make no mistake, the rise of digital currencies has been nothing short of remarkable. Here are some interesting facts.
The total market cap of cryptocurrencies is now approaching $600 billion. To put that in perspective, the cryptocurrency universe is now bigger than the market cap of the following big cap companies:
- Amazon (AMZN): $572 billion
- Berkshire Hathaway (BRK.A): $493 billion
- Exxon Mobil (XOM): $353 billion
- Johnson & Johnson (JNJ): $380 billion
Bitcoin has benefited significantly from its first mover advantage. The first bitcoin was mined in January 2009. The digital currency now accounts for 53% of total cryptocurrency market cap, dwarfing the next largest digital currency, Ether, with it's market cap of $71 billion or 11.8% of the total.
It's easy to understand why cryptocurrency market capitalization has skyrocketed. These digital currencies have realized remarkable price appreciation in the past year as investors scrambled to get in on the action. Below we show 1-year price appreciation for the #1, #2 and #5 largest cryptocurrencies:
- Bitcoin: +2,300%
- Ethereum: +9,300%
- Litecoin: +8,500%
More fun facts...
Source: Coindesk
- Annualized global mining revenues $19.3 billion
- 58% of mining pools are based in China.
- The annual electricity consumption needed to mine Bitcoin is 34.96 TWh (terawatt hours). That's roughly the equivalent of Bulgaria's annual electricity consumption (a country with 7.1 million people).
- Cumulative proceeds from initial coin offerings have reached $3.8 billion.
And here's an interesting observation and chart from our friend and economist Daniel Lacalle:
https://twitter.com/dlacalle_IA/status/942808239762300928
What's next for cryptocurrencies?
Find out. Join us for a very special discussion on bitcoin today at 1pm ET. In this edition of Real Conversations, currency guru Josh Crumb will cut through the noise during an in-depth discussion with Hedgeye CEO Keith McCullough. (A video replay will be available for all who sign-up for access.)
