Bitcoin is enjoying another rally during Christmas like last year. The price falls around 80 percent since the beginning of the year. Recently, it surges by almost 25 percent this week alone.
Coinbase President Asiff Hirji joined the ‘Fast Money’ team to discuss the recent upward trend, how Coinbase has adjusted to the negative sentiment in 2018 and how it is preparing for institutional investors in 2019.
Not Surprised By The “Bounce Back”
Asiff Hirji, who appoints as Coinbase’ president last year December when the price of bitcoin was skyrocketing, says he’s not shocked by the recent trend.
“It’s not surprising to me that we’ve had a bit of a bounce back. I think the amount of innovation that’s happened in cryptocurrency over the last year  has exceeded everything over the years before.
Moreover, he explains “analyze the number engineers going into cryptocurrencies and actual projects under launch”. We have never had as much innovation as we have today, he adds.
Technical Development in the Crypto Space
The price of bitcoin might not have been great this year but the development of the technology is massive. We highlight some of the technical development on bitcoin before. Moreover, which include the increase in the adoption of Segwit, lighting network and the increase in Hashrate.
The Ethereum Foundation has also been working on massive developments to help solve Ethereum scalability challenge. Earlier this year, at Devcon 4, Vitalik Buterin says he was looking into RSA accumulators. RSA accumulators can reduce the history size clients need to store information on Plasma Cash by “another factor of 100.”
Another major development in the crypto-ecosystem is the development of infrastructure for institutional investors. The president of Coinbase told CNBC that they had “laid a lot of the infrastructure to allow institutions to start to invest in cryptocurrency.”
Institutional investors considers to be the catalyst for the price of bitcoin in 2019. Stephen Pair, CEO of BitPay, a global bitcoin payment service provider, told CNBC in an interview that institutional investors would be one of the reasons the price of bitcoin will go up. Another reason might be the adoption of blockchain as a payment platform.
Regarding Coinbase doing an Initial Public Offering (IPO) next year, the president believes it is still a long way to go before that happens. The company values at 8 billion dollars in the last round of private investments.