Capitalizations Index – B ∞/21M
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bitcoin’s rise has been one of the great investment stories of 2013. But prices plunged after China stopped exchanges which trade the virtual currency from taking new deposits. Lex’s Vincent Boland and Joseph Cotterill discuss whether the bitcoin bubble is deflating.
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bitcoin is a deflationary asset because its supply is capped at 21 million coins. This fixed limit creates scarcity, potentially increasing value over time as demand grows, unlike inflationary fiat currencies.
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