Bitcoin Tops £5,000 In Value

Image copyright Getty Images

The price of Bitcoin has surpassed £5,000 per coin - a new record.

While it is a historic moment of sorts, Bitcoin is usually compared to the dollar.

The virtual currency peaked at $6,649.33 (£5,015) at about 16:34 GMT on Wednesday, according to Bloomberg.

The total value of Bitcoin in circulation is currently $110bn (£83bn) and the cryptocurrency has risen more than seven-fold against the dollar over the past year.

The reason for the latest jump in value was in part driven by an announcement by US-based derivatives marketplace operator CME Group about a plan to launch a Bitcoin futures product before the end of the year.

Bitcoin was launched in January 2009. Its value was lower than $100 in June 2013, and below $1,000 as recently as January.

But in August, the virtual currency soared to $3,451 after a spin-off - Bitcoin Cash - failed to prove as disruptive as had been feared.

And in September, Bitcoin crossed the $5,000 threshold for the first time.