Bitcoin attracts major investors
May 24, 2013
Bitcoin is gaining traction outside its existing community of enthusiastic early adopters.
An estimated 1,100 people attended Bitcoin 2013, the first large conference dedicated to Bitcoin, MIT Technology Review reports. The conference also showed that Bitcoin has begun to attract the backing of conventional technology industry investors, who have sunk millions of dollars into a handful of Bitcoin startups.
In the Bitcoin system, cryptographic operations and oversight from a peer-to-peer network of people running Bitcoin software process transactions and protect against counterfeiting without the need for a central authority.
CoinBase, the media sponsor of the San Jose event, received the largest venture investment in a Bitcoin business to date, earlier this month:.$5 million from Union Square Ventures, a fund better known for backing Tumblr and Zynga.