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Ethereum Grows 4,000% This Year, Creator Death Hoax Causes 20% Drop Temporarily

BTC Ethereum.BTC Keychain/Flickr

There’s no doubt that cryptocurrency is on a steep rise and there’s no better example of that than Ethereum. Just this year, the digital currency’s value rose by 4,000 percent and big companies are starting to get in on the trend. On the other hand, it’s also undeniable that the market is incredibly volatile. Even the simple hoax about the death of Ethereum’s creator was enough to make it drop in value by 20 percent.

Average Joes and multi-billionaires alike are starting to invest in cryptocurrency in droves, and one company is thinking about mining Ethereum in order to get ahead of the game. The company in question is MGT Capital, which is run by John McAfee, Futurism reports. The tech security expert basically wants to take advantage of the surge in the price of the digital currency to bring his company out of the red.

Now, it’s worth noting that despite the seemingly erratic ups and downs of the cryptocurrency, tech experts and analysts have long predicted that Ethereum would drop in value owing to its unprecedented rise. This is why McAfee still believes that the future of his company can be tied to the rising popularity of the trend, as he said in a statement.

“We are more convinced each day of the growth and value of digital currencies, and our company is uniquely positioned to be a leading provider of processing power to relevant blockchains,” the statement reads.

While it’s true that Blockchain and cryptocurrency are practically inevitable, it’s still worth looking out for all of the details that might affect investment in the sector. For example, when the hoax involving the death of Vitalik Buterin, the currency’s founder went around, the value dropped by 20 percent. Ethereum quickly rallied shortly after, CNBC reports, but it is still indicative of the market’s volatile nature.

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