Upfront

8
$1,200

Show Me the Bitcoins

The digital currency Bitcoin is gaining momentum. Though still volatile, its
value has been surging as more bitcoins are being spent than hoarded. And
the currencys popularity has spawned many competitors.

$1,000

$800

3 JUNE 2011

6 MARCH 2013

8 OCTOBER 2013

The market price of a

bitcoin surpasses $1
for the first time.

The price of a bitcoin

reaches $30, then
falls after the largest
Bitcoin exchange, Mt.
Gox, is hacked.

The value of all

circulating bitcoins
passes $1 billion.

4 FEBRUARY 2013

The FBI shuts down

Silk Road, and the
market price dips.

Baidu says it will

accept bitcoins, and
the U.S. government
shutdown inspires
bitcoin hoarding. The
price rises rapidly and
briefly tops $1,200.

2 JUNE 2011
Press reports on Silk
Road, where bitcoins
could buy illegal
drugs, draw attention
to the currency, and
the value of a bitcoin
spikes.

7 OCTOBER 2013

The popularity of
bitcoin gambling
websites grows, and
the price of a bitcoin
surpasses $30.

$600

9 DECEMBER 2013
Chinese authorities
block payments to
Bitcoin exchanges,
and the price drops to
around $700 before
rebounding.

5 MARCH 2013
EU authorities seize
funds in Cypriot
banks; some people
seek refuge by buying
bitcoins.

$400

$200

2
3

1
JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC

2011

JAN

2012

FEB

MAR

APR

MAY

JUN

JUL

AUG

SEP

OCT

NOV

2013

Physical cash vs. digital money

New bitcoins are now far more likely to be spent than hoarded by
speculators.

Just the U.S. bills and coins in circulation are

enough to dwarf the value of digital currencies.

Unspent

2010

2011

2012

JAN

2014

How fast are people spending bitcoins?

2009

DEC

2013
Bitcoins
$10.1 billion

U.S. dollars
$1.2 trillion

Immediately
Within 24 hours
17 days
14 weeks
112 months
After 1 year

Ripple
Litecoin

$2.1 billion
$560 million

Peercoin

$111 million

Nxt

$70 million

Dogecoin

$53 million

MARKET PRICE

1 FEBRUARY 2011