Bitcoin, the virtual digital currency, is understandably something that most people have a tough time getting their head around, even those in the banking industry.
Because there is no regulatory body, it’s always been considered somewhat of a risky thing to get involved in, but a new company called Coinbase might be the first signs of legitimacy.
With $75 million in funding from investors such as the New York Stock Exchange and Spanish banking giant BBVA, Coinbase claims to be the first licensed US based bitcoin exchange.
At the moment, they are only licensed in 24 states as they must get approval on a state-by-state basis, so they’re just getting started.
Knowing that a legitimate financial entity is behind the exchange still won’t impact one of the biggest problems with bitcoin: extreme volatility.
If you are going to dip your toe into the bitcoin pond, Coinbase is probably your best bet at the moment, but I wouldn’t exchange any amount that you’re not willing to lose.