Should Baby Boomers Invest in Bitcoin?

Baby_Boomers09 Jan 2014 / The Daily Beast – In 2012 it was $5.48. In 2014 it’s reached $1,040. Could Bitcoin fund your retirement years?

Growing a retirement nest egg is no easy feat post-recession.

But in 2013, a tantalizing new investment vehicle exploded onto the scene, making as many cyber millionaires as the Twitter or Facebook IPOs, showing astronomical returns, and leaving governments around the world scrambling to piece together monetary policies to govern its use.

That option: Bitcoin— a decentralized, mathematically-mined cryptocurrency created in 2009. But will it fund your retirement years? For most money managers, it’s way too early to tell—the currency is so new and so volatile that predicting its future value is a fool’s errand. Still, like any gold rush, several investors are staking their claim. And it’s not like Baby Boomers’ current retirement options are looking very healthy.

Bitcoin grabs headlines for it’s staggering price swigs – in Jan 2012 the average price was $5.48/coin, Jan 2013 it reached $20.41 and Jan 2014 has already seen highs of $1,040 and lows of $800 in the first week of the month. For the coin to gain or lose hundreds in value in a day has become commonplace, and while fun to watch as a bystander, the question for this with skin in the game is always ‘will it crash’? Even supposed experts are unsure, with some Wall St analysts who posit the coin could reach $98,500 each, while a finance professor targets the price of $10 a coin by mid-2014. At its current trading value, it could be a gamble that pays off handsomely….. Read more

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